CAN YOU CLAIM EXPENSES BEFORE YOUR BUSINESS STARTS (SELF-EMPLOYED)?

Spent money on self-employed expenses before your business has started?
Wondering if you will get tax relief on items you already own, but want to use in your business? Well watch on

Topics include:

What expenses you can claim as self employed
Self-employed travel expenses
Self-employed working from home costs
Self-employed training costs
Self-employed entertainment
List of self-employed expenses
How you claim self-employed expenses
Self-employed capital allowances
Pre-trade expenses
Expenses for self-assessment

… and more!
If you have any questions on this, please comment below.

You can see more about what we get up to on the following:

#accounting #tax #selfemployed

[lucianacorp]

Thank you for this, your video has answered one of our questions, the other one is: can we put against my daughter in laws self employed business (new business) as an expense the building of an outside kitchen (medium sized wooden shed like building) with water and electricity supply direct to the building - this building is purely for her business. Thank you for any help

[aaronshields]

Hi, love the videos. Very helpful. Quick question if you don't mind? How would it work if your start up costs mean you didn't technically make a profit for a few years. For example, let's say start up costs we're £100, 000 but you only made £30, 000 profit each year for 3 years, would that mean you pay no tax, as technically you still haven't made a profit?

[MBV]

Brilliant video, so helpful. One question – I brought in (not bought) a computer which I personally owned for use in my self employed business at the start of the financial year April '23. I use the computer full time for the business. I know what it cost when I originally purchased it several years before, and I have an idea of its value at todays value on eBay. But I don't have a figure for its value back in Apil '23. Is the best thing to look at the change in value between today and original purchase, then divide that change by the number of months between original purchase and April '23?

[YTMrB]

OMG I had no idea about this! What if you are in year 2 of your business but you purchased something the year before you started? Did I have to claim the expense in year 1 return or can I still claim in year 2/3? Thanks so much!

[susiebla]

Thanks for the video. Interesting content. With a furnished holiday let, the majority of expenditure on items such as furniture is obviously bought pre-trading. So can I assume therefore that for items such as beds, sofa, chairs and TVs, these are treated as having been incurred on the first day of trading? Are you then able to get 100% AIA on such items. This was for last year. I'm aware the rules are changing from April 25.

[RAK]

This is very useful information thank you so much. I have been wondering
1.How far back I can go claiming expenses. I had assumed its upto a yr back or nothing
2. Can I still claim expenses even if I haven't made any profits?? That's the current trajectory atleast for the first yr.
Will I get a relief paid back to me following submission of a tax return of a loss?

[mollyhalligan]

This is a great video! Quick question - my mum is setting up a business to sell prints, I bought a printer for her to start printing these more professionally. Would she be able to claim this back if the purchase was under my name but she then paid me back for it just from a personal account?

[elainec.]

Question: As a freelancer, i am earning from working as a freelance (developer) during at night. I am planning to start making my Youtube channel, can I consider buying a video camera as allowable tax expenses even my channel is not yet earning money?

[AlexNme]

Is there any point me transferring money into my sole trade business account to pay for a business mobile phone? Or if profit has been made, should I just use the profit to pay for the phone?

[robman]

Here's one. I started trading on 03 April 2023 and apparently my first period was 03 April 2023 to 31 March 2024. Did not have revenue until 18 April 2023. Because I received a large payment on 05 April 2024 and I thought this was still in the 23/24 tax year, I made a significant pension contribution. If I change my period from 06 April 2023 to 05 April 2024, will I be able to claim for my pre-commencement capital expenses?

[vanessacollins]

just found your video and i have a question. I have purchased a number of supplies for my hobby for about a year . I have decided to open a home based business. Can i used them as a deduction on my taxes? I have saved all receipts and i am setting up my bookkeeping can i enter what i purchased in my books?

[goosphil]

Very helpful video. Just a quick question, please. I am ready to fill in online my first self-assessment. I was starting up the business for 4 years for a total of £10, 000 before the first day of trading. So, do I need to add the start-up's total (£10, 000) to the first day on my expenses sheet? Or is there a place to put it on the self-assessment

[phoebeauyeung]

Hi! I’m a freelance counselor. my jobs always use the working mobile phone face time service to communicate my client and on call service, I have 2 mobile phone to separate business and private use. the working mobile phone is wholly and exclusively business-related. Unfortunately my working phone is broke, I will buy the new one. It's allowed business expenses or capital allowance?Thanks!

[katrinalagringa]

Do you clarify in your videos which country’s tax laws you are referring to? Is this for the US?

[lisascott]

My partner has just started a man and van buisness, is the inital cost of the van tax deductable and would the van insurance and tax also be deductable? Using cash basis accounting thanks

[oldskoolmk]

Is this applicable is you're in an LLP but you paid for items personally before forming the partnership?

[nata_b]

Has the payment for course, which is helping me to start business can be deducted?