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Cash Basis and Simplified Expenses for Sole Traders and Partnerships

10/05/2018 13:07:02
Find out what cash basis is, how it works and who can use it by viewing this YouTube video.

Simpler Income Tax - Cash Basis and Simplified Expenses

The YouTube video will also help clarify simplified expenses and the business records that you are required to keep when using this scheme.

This message was edited 2 times. Last update was at 14/05/2019 07:24:49

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Cash Basis and Simplied Expenses for Sole Traders and Partnerships

14/05/2019 07:07:35
clicked on link, however, the link cannot be found. Using a Windows Surface RT running Windows 8.1
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Re:Cash Basis and Simplied Expenses for Sole Traders and Partnerships

14/05/2019 07:23:00
Hi,

Thank you for bring this to our attention.

Unfortunately, the recorded webinar had been removed.

I have now amended the link so it will now go to our YouTube video on Cash Basis & Simplified expenses.

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Cash Basis and Simplified Expenses for Sole Traders and Partnerships

11/06/2019 07:37:39
Hi
I usually use cash basis accounting as this works better for the job I do. I recently took a business loan out for business equipment. My question is do I claim the amount of the loan amount each month or do I claim the full amount of the purchased equipment as a business expense and if so can I claim this in the next tax year as it will show my profits alot lower for his tax year. Hope this makes sense
Thanks
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Re:Cash Basis and Simplified Expenses for Sole Traders and Partnerships

11/06/2019 14:24:50
Hi Tonimp
If you have taken out finance for a business purpose then you can claim a proportion of the interest paid on the loan as an expense restricted to the business use. However if using cash basis the amount that can be claimed in relation to interest is restricted to £500. Guidance is available here
BIM 70040
The cost of the equipment can also be claimed as an expense in the year purchased and again restricted to the business use.
I hope this helps

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