Showing posts with label BVI. Show all posts
Showing posts with label BVI. Show all posts

Friday, 17 April 2015

Expenses if your self employed

When advising people who are new to self employment, one of the questions I am asked most often is  " what can I claim as costs of my business"
The simple answer is business expenses that are wholly and necessarily for the purpose of the business.  However it is generally helpful to go into a bit more detail.

Costs you can claim as allowable expenses.

These include:
  • office costs, eg stationery or phone bills
  • travel costs, eg fuel, parking, train or bus fares
  • clothing expenses, eg uniforms
  • staff costs, eg salaries or subcontractor costs
  • things you buy to sell on, eg stock or raw materials
  • financial costs, eg insurance or bank charges
  • costs of your business premises, eg heating, lighting, business rates
  • advertising or marketing, eg website costs.
If something is used for both business and private purposes, then only part of the cost equivalent to the business use can be claimed.

If you work from home you have a choice. You can claim a tax deduction using the specified allowance for use of home or you can use a reasonable estimate, based on a reasonable proportion of the actual costs.

You may be able to claim a proportion of your costs for things like:
  • heating
  • electricity
  • Council Tax
  • mortgage interest or rent
  • internet and telephone use


The cost of buying assets, such as equipment, for the business does not get deducted like expenses but instead there are tax adjustments called capital allowances. Usually these allowances spread the cost over more than one year.

These are the principal categories,

  • equipment
  • machinery
  • business vehicles, eg cars, vans, lorries.


Any specific questions, let me know.

Tuesday, 18 June 2013

Practical steps to tackle tax evasion ahead of G8

Several overseas territories along with the Cayman Islands and the Crown dependencies of Guernsey, Jersey and the Isle of Man have agreed to join and take an active part in the multilateral Automatic tax information exchange launched by UK, France, Germany, Italy and Spain. Joining the Multilateral Convention will allow more countries to quickly benefit from greater levels of tax information exchange. This will be particularly beneficial for developing countries as it allows them to sign up to one multilateral treaty rather than several bilateral arrangements. The action plans on beneficial ownership they have committed to produce will ensure much greater clarity about who really owns, controls, and benefits from companies.This follows an announcement from Prime Minister David Cameron on new rules to bring unprecedented transparency on company ownership, and will make it harder to launder money, evade and avoid tax, finance terrorism, bribe officials, hide stolen assets and evade financial sanctions.
The full statement was as follows: We, the Political Leaders of the Overseas Territories of Anguilla, Bermuda, British Virgin Islands, Gibraltar, Montserrat and Turks and Caicos, warmly welcome our meeting with the Prime Minister today to discuss Tax, Trade and Transparency, where we had a very clear agreement and constructive exchange of views on the practical steps needed to tackle the global problem of tax evasion and how the UK and the Overseas Territories will continue to apply our high standards of regulation to address this.

As part of our contribution to advancing this global agenda and to create a level playing field right across the world, different Overseas Territories at different times, and now unanimously, have reiterated and confirmed our agreement to the following three (3) important steps: 
  • To play an active part in the new pilot initiative of multilateral automatic tax information exchange launched by the UK, France, Germany, Italy and Spain;
  • To prepare national action plans on Beneficial Ownership to meet the FATF standards;
  • To commit to joining the Multilateral Convention on Mutual Administrative Assistance on Tax Matters.
It is our collective view that as we free up the world economy we must make sure openness delivers benefits for rich economies and developing countries alike and that we maintain confidence in the fairness and effectiveness of our tax systems and in the operation of global markets. Tackling tax evasion and fraud is a global responsibility in which we will continue to play our full part.
We welcome the Prime Minister’s willingness to work in partnership with us in seeking to achieve a step change in international standards and establishing a global level playing field through the UK’s G8 Presidency.
As part of our continuing commitment to tackling tax evasion and fraud, we have also undertaken to prepare Action Plans setting out the concrete steps, where needed, to fully implement the Financial Action Task Force standards to further increase our already high standards of transparency on beneficial ownership information and to ensure that this information is available to law enforcement and tax authorities in accordance with our established mutual legal assistance cooperation regimes.
 The Multilateral Convention on Mutual Administrative Assistance in Tax Matters is an important global instrument, which builds upon our existing network of many bilateral agreements and other existing arrangements for exchanging information between tax authorities. The Convention offers an accessible route to increase the number of jurisdictions which will be able to benefit from information exchange. It is for this reason that we have committed to joining the Convention and have requested its extension to our jurisdictions as soon as possible, subject to our national procedures and the need for ensuring the achievement of a global level playing field.
 We are committed to continuing to play a leading role in delivering a fair, responsible and effectively regulated global business environment.
 We express the hope that the UK Prime Minister will succeed at Lough Erne in securing a new global standard and all Leaders will commit to move together on this common agenda designed to secure more economic growth.

As part of our contribution to advancing this global agenda and to create a level playing field right across the world, different Overseas Territories at different times, and now unanimously, have reiterated and confirmed our agreement to the following three (3) important steps: 
  • To play an active part in the new pilot initiative of multilateral automatic tax information exchange launched by the UK, France, Germany, Italy and Spain;
  • To prepare national action plans on Beneficial Ownership to meet the FATF standards;
  • To commit to joining the Multilateral Convention on Mutual Administrative Assistance on Tax Matters.
It is our collective view that as we free up the world economy we must make sure openness delivers benefits for rich economies and developing countries alike and that we maintain confidence in the fairness and effectiveness of our tax systems and in the operation of global markets. Tackling tax evasion and fraud is a global responsibility in which we will continue to play our full part.
We welcome the Prime Minister’s willingness to work in partnership with us in seeking to achieve a step change in international standards and establishing a global level playing field through the UK’s G8 Presidency.
As part of our continuing commitment to tackling tax evasion and fraud, we have also undertaken to prepare Action Plans setting out the concrete steps, where needed, to fully implement the Financial Action Task Force standards to further increase our already high standards of transparency on beneficial ownership information and to ensure that this information is available to law enforcement and tax authorities in accordance with our established mutual legal assistance cooperation regimes.
 The Multilateral Convention on Mutual Administrative Assistance in Tax Matters is an important global instrument, which builds upon our existing network of many bilateral agreements and other existing arrangements for exchanging information between tax authorities. The Convention offers an accessible route to increase the number of jurisdictions which will be able to benefit from information exchange. It is for this reason that we have committed to joining the Convention and have requested its extension to our jurisdictions as soon as possible, subject to our national procedures and the need for ensuring the achievement of a global level playing field.
 We are committed to continuing to play a leading role in delivering a fair, responsible and effectively regulated global business environment.
 We express the hope that the UK Prime Minister will succeed at Lough Erne in securing a new global standard and all Leaders will commit to move together on this common agenda designed to secure more economic growth.