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Personal Expenses

What can I put through the company

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I have a pile of recipts from my MD relating to his expenses some of which include personal expenses for holidays, meals and such. Should these be put through on his DLA or are they okay to go through the travelling, subsistence nominal codes as long as the VAT is not claimed?

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Caroline
By accountantccole
14th Aug 2019 12:21

Personal expenses are personal expenses! Put to the directors loan.
There might be a business case for some of the travel and subsistence if it is genuinely for business, the MD should be able to tell you this.

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Replying to accountantccole:
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By PZVF7MEAC
14th Aug 2019 13:09

Many thanks for your help.

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By Mr_awol
14th Aug 2019 12:28

Bury it in the biggest figure (usually purchases).

Nobody will ever find it there...………..

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Replying to Mr_awol:
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By Accountant A
14th Aug 2019 13:04

Mr_awol wrote:

Bury it in the biggest figure (usually purchases).

Nobody will ever find it there...………..

Agreed. Just to be on the safe side, make sure that you describe them as business expenses otherwise HMRC might spot them.

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Replying to Accountant A:
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By Mr_awol
14th Aug 2019 13:10

Even better, use "genuine business expenses" followed by a winking face emoji as the narrative. HMRC will be fooled and the accountant will know not to question them.

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Replying to Mr_awol:
RLI
By lionofludesch
14th Aug 2019 14:57

Mr_awol wrote:

Bury it in the biggest figure (usually purchases).

Usually sales for most of my clients.

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Replying to lionofludesch:
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By Mr_awol
14th Aug 2019 15:09

lionofludesch wrote:

Mr_awol wrote:

Bury it in the biggest figure (usually purchases).

Usually sales for most of my clients.

Biggest expense heading.

You cant fiddle shit[***][***] like this through sales - at least not for VAT registered businesses. Sticks out like a sore thumb on the VAT to turnover rec.

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Replying to Mr_awol:
RLI
By lionofludesch
14th Aug 2019 15:16

What if you're on cash accounting ?

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Replying to lionofludesch:
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By Mr_awol
14th Aug 2019 16:13

lionofludesch wrote:

What if you're on cash accounting ?

I think cash accounting is something of an oxymoron.

I've just asked three of my clients that very question. They all said you don't have to account for cash jobs.

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Replying to Mr_awol:
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By lionofludesch
14th Aug 2019 16:26

There's a limit to what you should disclose on a public forum.

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By SXGuy
15th Aug 2019 14:41

I guess I shouldn't mention a client last week saying he didn't need to tell me about cash he receives as he puts it all in to ISAs and ISAs are tax free... I felt like smacking my head against the wall

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By ireallyshouldknowthisbut
14th Aug 2019 12:42

Unless your MD has had an "oops" with his business card, and has asked you to sort out which are business and which are not, then its not OK for him to try and hide private costs in the business.

This tends to be the actions of a bully / sociopath. Its not OK to put you in a position to either cover up his antics, or stand up to him.

If the MD does not own the whole business, be very careful you are not seen to be aiding an abetting what could be fraud.

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Replying to ireallyshouldknowthisbut:
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By PZVF7MEAC
14th Aug 2019 13:08

I feel it is more the case that he has always done his own expenses and doesn't really know, it might be a bitter pill to swallow when I tell him he isn't actually allowed to put these things through. Thanks for the advice though, sometimes its just good to have conformation of the obvious!

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Replying to PZVF7MEAC:
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By JoF
14th Aug 2019 13:20

PZVF7MEAC wrote:

his own expenses and doesn't really know

Im sure you dont believe that in a milion years. The guy will absolutely know what he is doing and that he cannot put through his holiday costs!

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Replying to JoF:
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By Martin B
15th Aug 2019 10:27

I bet he/she is an MP

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Replying to JoF:
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By Martin B
15th Aug 2019 10:27

I bet he/she is an MP

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By pauld
14th Aug 2019 13:07

I will reply on the MD's behalf - 'They are 100% business expenses'.

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