Before he incorporporated his business client was paying premiums to a personal pension, after deduction of basic rate tax. These continued to be paid by the company and have been regarded as a 'private' payment in company acconts. Financial adviser has told him that they can be treated as an expense of the company.
My understanding is that you cannot have tax relief on these premiums twice - once by paying net premiums and then as a charge against CT. To claim these against CT don't the premiums have to be regarded as an employer contribution and paid gross.
Am I right or the FA? If the client were to be a higher rate taxpayer anyway, then wouldn't he be better off paying the premiums himself and being able to claim 40% tax relief?