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Posted Wed, 13 Apr 2022 19:20:39 GMT by C Kell
Evening all, I'm writing this thread to check my understanding. I have also scanned the threads I am self employed, non-VAT registered, running my own counselling business. I work from an office in my home as well as rent an office from which I conduct face to face counselling. I also use other premises from time to time. I would like to buy a small car for my business so that I may travel to my various places of work. Whether I lease or get a loan I'm looking for some clarity on allowable expenses using a cash basis? Is it simply that I calculate the fraction of business miles across the year and use the corresponding fraction of the lease or loan repayment as an allowable expense? Appreciate your time in reading and also answering - and happy to provide any further info as required. Thanks CK
Posted Tue, 19 Apr 2022 13:36:55 GMT by HMRC Admin 17

Hi,
 
If you use cash basis and do not claim simplified expenses you can claim the car purchase as a Capital Allowance. 

Please see Helpsheet to work out what you can claim:

HS252 Capital allowances and balancing charges 2022   .

Thank you.

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