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  • FIRST POST
    • pramsay13
    • By pramsay13 13th Nov 17, 8:17 PM
    • 210Posts
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    pramsay13
    Is Voucher Giveaway an allowable expense?
    • #1
    • 13th Nov 17, 8:17 PM
    Is Voucher Giveaway an allowable expense? 13th Nov 17 at 8:17 PM
    I'm self-employed and have given away a voucher in a promotion.
    Can I claim the value of the voucher as an allowable expense?
Page 1
    • 00ec25
    • By 00ec25 14th Nov 17, 3:26 PM
    • 5,382 Posts
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    00ec25
    • #2
    • 14th Nov 17, 3:26 PM
    • #2
    • 14th Nov 17, 3:26 PM
    what does the voucher entitle the holder to receive and what was the nature of the promotion?

    there are specific rules where a voucher may be classed as disallowed business "entertainment", hence the need to know the context
    Last edited by 00ec25; 14-11-2017 at 3:28 PM.
    • pramsay13
    • By pramsay13 14th Nov 17, 3:37 PM
    • 210 Posts
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    pramsay13
    • #3
    • 14th Nov 17, 3:37 PM
    • #3
    • 14th Nov 17, 3:37 PM
    The promotion was to promote the business.
    It was for a certain amount (£60) that can be used to pay me for my products.
    Do you have a link to the different rules so I can check them?
    • 00ec25
    • By 00ec25 14th Nov 17, 4:23 PM
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    00ec25
    • #4
    • 14th Nov 17, 4:23 PM
    • #4
    • 14th Nov 17, 4:23 PM
    so the nature of your business is you buy and sell physical goods?

    the voucher is nothing more than a £60 discount off the normal full price of the goods that you normally sell as part of your business?

    a sales discount is not an expense, it's a discount
    • pramsay13
    • By pramsay13 14th Nov 17, 4:51 PM
    • 210 Posts
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    pramsay13
    • #5
    • 14th Nov 17, 4:51 PM
    • #5
    • 14th Nov 17, 4:51 PM
    I buy raw materials and then manufacture items.
    The £60 voucher will cover one of these items so I won't be getting any money.
    • greatkingrat
    • By greatkingrat 14th Nov 17, 6:38 PM
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    greatkingrat
    • #6
    • 14th Nov 17, 6:38 PM
    • #6
    • 14th Nov 17, 6:38 PM
    I think you can only claim the actual cost to you, not the retail price. So if the raw materials for the item cost you £30, and you would normally sell it for £60, the cost to you of the voucher would be £30 not £60.
    • 00ec25
    • By 00ec25 14th Nov 17, 7:39 PM
    • 5,382 Posts
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    00ec25
    • #7
    • 14th Nov 17, 7:39 PM
    • #7
    • 14th Nov 17, 7:39 PM
    I buy raw materials and then manufacture items.
    The £60 voucher will cover one of these items so I won't be getting any money.
    Originally posted by pramsay13
    no you cannot claim £60 as an expense,

    you have simply given a 100% sales discount so have spent £x on raw materials and got £0 income. Net effect you can claim £x raw materials purchase. Just as you would have done anyway.
    • pramsay13
    • By pramsay13 14th Nov 17, 9:33 PM
    • 210 Posts
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    pramsay13
    • #8
    • 14th Nov 17, 9:33 PM
    • #8
    • 14th Nov 17, 9:33 PM
    Thanks for your answers.
    That makes sense now.
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