Microsoft Office and laptop?

[stargazer1]

I bought a new laptop just before Christmas as mine died. I am not sure if I should put down as expense, as use it for probably half personal and half business use.

Anyhow, my free trial of Microsoft Office has just run out so I have had to purchase Microsoft Office package. It cost £80, more than I expected. Is this a valid expense? I would not use office for anything non business related at all so I am guessing so, but just thought I had better check. My expenses are massive this month as just had to pay PLI and NCMA membership.

xxx

[MrAnchovy]

You can claim the business use proportion of the laptop under Annual Investment Allowance on your tax return, and yes of course you can claim for software used only for business (or a proportion if used partly for business).

[stargazer1]

Thanks Mr A. So I don't put the laptop down on accounts until I put it on the tax return, is that right?

[vikiwizz]

That's really interesting, I'm just about to buy a laptop that will be only for business :)

[MrAnchovy]

Thanks Mr A. So I don't put the laptop down on accounts until I put it on the tax return, is that right?

Are you using one of the expenses books provided by the NCMA or similar? I am not a big fan of those - one day I will do one that works properly :D In the meantime you could keep a separate sheet headed "Fixed Assets" and put it on that.

[stargazer1]

Yes I use the NCMA book.

What would you put on your fixed asset sheet then, just big, one off type purchases?

Thanks, as always, for your help Mr A! :)

[MrAnchovy]

What would you put on your fixed asset sheet then, just big, one off type purchases?

Yes, exactly that :D

[leeanne910]

Can i ask a dumb question lol

How do u work out the business proportion?

Eg. I use mostly my laptop for my business. But i use it prob once a week to do banking as i keep track of my personal incoming and outgoings

[MrAnchovy]

In most cases by the amount of time used for each purpose, but if a more suitable measure exists you should use that (e.g. for a car, the number of miles travelled).