Office Artwork & Company car

1

Dear all,

Due to my type of business (therapies), I required artwork for my office for business purposes. How should I classify this in FreeAgent? I could select ‘Capital Asset Purchase’ - but then I need to choose the asset life (which maxes out at 7 years). It’s likely to last longer than that… Is this the correct course?

Presumably I’ll save the corporation tax of this outright (as a loss)?? I don’t claim VAT as therapy is VAT exempt.

Secondly - I am buying a company car (100% electric car). Do I also select Capital Asset Purchase for this? Again, will this instantly be registered as a loss and save the corporation tax (even if I select 7 years)?

Thanks

jonat

2

Hi Jonat,

This is really a question for your accountant because they will have a better understanding of the specific needs of you and your business. Unfortunately we are not authorised by HMRC to provide accountancy or tax advice, as we don’t meet the definition of a ‘tax adviser’, so please accept our apologies for this.

If you have any other queries about using the software, please contact our support team by phone/email/chat using the contact details here as this forum is to support our partners with their API integrations. Sorry I can’t help any more!

Kind regards,
Dominic