clarity on Immigration expenses for innovator visa as an eligible company expenses

hello, As you already know, Innovator visa prior to Innovator founder visa, allows a person to come to the UK and setup and run an innovative business. This requires paying for immigration charges which is on applicant's name even though this visa is solely for the purpose of business. I am close to filing my company accounts and not sure if I can include the immigration charges, which is is director's name, as an eligible company expenses? Any clarity is very much appreciated

Hi, 
 

Expenses can only be deducted if they were wholley and soly for the purposes of trade, please see BIM37007 - Wholly and exclusively: overview for more information. This would depend who the visa/immegration charges were for. If they were for you as the director/indervidule, then they may not fall under this allowance. Corporation tax is self-assessed, please review the guidance above and decide which action to take.  Thank you .

Hello and thank you for your kind reply. Based on your reply. I believe I should provide more information since this is a new visa Home Office brought in place in 2019 which is now known as Innovator Founder visa and hopefully get more clarification. Yes, the immigration charges were under the name of the Director since he/she needed to move to the UK and no one else to setup and run an innovative business. Few major Conditions of the Innovator Visa, -Company must be registered at the Companies House -Person must be the Director of the registered company mentioned in the application -Work solely for the business as described in endorsement letter -Can not be employed elsewhere in the UK as an employee -Must be approved for this visa to legally setup and run the innovative business described in the application Would this not described as wholly and solely for the purpose of the trade? How and what do I need to provide to support on this expenses as an eligible company expense? Endorsement letter used for this visa application clearly defines above mentioned conditions and is in Home Office record as well. Thank you in advance for your feedback.

Hi ,
 

Thank you for the further information. The issue is not that you require it to set up the business, as I believed this was the case already. what you need to consider is there any personal gain or use from it, if so, we may not be able to consider it wholly and solely for the business. I cannot give definitive answer on whether this can be included or not as we do not give tax planning advise, you may need to speak to a financial/tax advisor. Thank you .