Allowable Expenses for CIS Tax Returns

Allowable Expenses for CIS Tax Returns

What Can Be Claimed on a CIS Tax Return?

By maximising the allowable expenses claimed on your CIS Tax return, you are essentially maximising your possible Tax rebate. It is therefore you keep a good record of expenses over the course of the year to ensure that no expenses have been missed.

This article will hopefully provide you with a good guide of what can be claimed and what cannot.

Allowable Expenses for Travelling

Travelling expenses would include the following:

  • Fuel
  • Repairs and servicing
  • MOT
  • Insurance
  • Toll charges
  • Parking costs
  • Public transport, ie. Oyster card, train tickets, bus fares

If you use your own vehicle for work based travel, it might actually be more beneficial to claim the flat rate mileage allowance (45p for the first 10,000 miles and 25p thereafter). Essentially the amount of Tax relief you can claim can be greater than the actual costs incurred.

Tools and Equipment

Any tools necessary for your job can be claimed for Tax relief. These could be tools of the trade, for example if you are a painter then the costs of buckets, sheets, paint brushes and rollers can be claimed.

Materials

It is quite common for contractors to supply all materials necessary for the job, but this is not always the case. In the example above of a painter, should you be required to purchase the materials yourself, then these costs are available for Tax relief. Materials would cover the raw stock required for the job. Examples as follows:

  • Bricks and cement for bricklayers
  • Wood for joiners
  • Paint for decorators
  • Steel for welders

Training Courses

If you have had to pay for any training courses, such as gaining a CSCS card, these costs can be claimed on your CIS Tax return as allowable expenses.

Some courses and qualifications may require an annual fee or subscription. These would also be allowable expenses for the self-employed section on your Tax return.

Other Expenses

Other allowable expenses would include:

  • Postage and stationery costs
  • Internet expenditure
  • Mobile phone bills
  • Laptops or computers used for the business
  • Any other expenditure necessary for the job