Validate your expenses
It’s inevitable that as a business owner you will be on the end of some hefty outgoings, so you should whenever possible ask yourself if your expenditure is really necessary.
You can often delay the purchase of high price tag items to retain the cash within your business for longer.
Particularly during start up, you will need to validate your outgoings.
Splashing out on the latest gadgets isn’t always a necessity for your business, and HMRC take a dim view of lavish expense claims for items that are not “wholly and exclusively for the use of the business”
The next time, you purchase high end stationery items, and designer laptop bags ask yourself if a lesser product would do the same job.
Outlandish expenses can attract the attention of the revenue, and put you and your business at risk of an investigation by HMRC.
As a client of Avanti you are offered tax investigation insurance which would cover the work of your accountant to assist the revenue with such an investigation. Otherwise you leave yourself open to an intrusive and arduous process that handled incorrectly could lead to a confusing roller coaster ride if you don’t have the support of an accountant to help you understand what is required.
For more on HMRC investigations and potential triggers, see our article on SuffolkWire
Call Avanti today (08000) 388 799 to see what other benefits there are of being an Avanti client.