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Posted Tue, 19 Oct 2021 14:11:13 GMT by GLORIA LATTANZI
Hi, I'm in a regular partnership and so far I have used the flat rate to calculate the cost of the car for the work usage. Now, since the car is damaged due to an accident, I want to lease a car just for the business. Can I deduct the monthly cost of the leasing if I had already used the flat rate for the old car? I know you can't use traditional accounting and simplified expenses at the same time. If I decide to switch to the capitale allowance for the whole financial year, can I deduct entirely the monthly cost of the leasing car from the profit? In that case, for the months I used my car, can I also deduct the 6% of the cost of the car? (I'm referring to the special rate pool). Thank you Thank you
Posted Wed, 20 Oct 2021 16:12:24 GMT by HMRC Admin 9
Hi, 

You can't use traditional accounting and simplified expenses at the same time for the same car.

You would be able to claim for the lease of the car as an expense. You can claim for two cars at the same time if they are both being used for business. 

Thank you. 
Posted Fri, 22 Oct 2021 19:52:43 GMT by GLORIA LATTANZI
Thank you. If I use the simplified expenses, can I claim the monthly cost of the lease car?
Posted Tue, 26 Oct 2021 11:14:23 GMT by HMRC Admin 17

Hi,
 
The simplified expense covers all running costs of the car such as the lease so you would not be able to claim both see link:

Expenses if you're self-employed      .

Thank you.

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