Where to put 'services' expenses on tax form

jonf

Hi all,

does anyone know- if I have to pay a freelancer who has provided me with a service as part of my business where I put this sum on a self assessment form, do I bundle it in with all the other 'allowable expenses'?.

Many thanks for any light you can shed,

Jonf

laticsforlife

In general, yes.


If indeed he is genuinely self-employed (and lets just assume this was OK as it's a whole different set of questions), then the cost of engaging him is an allowable expense.


It's not an employee cost, nor wages (so don't call it that as HMRC might wonder where the PAYE scheme is), so in your accounts call it Sub-Contractor, and in terms of tax return, put it as part of the best sounding box that fits (there can't ever be enough boxes to fit all scenarios).

[Deleted User]

laticsforlife wrote: »

In general, yes.


If indeed he is genuinely self-employed (and lets just assume this was OK as it's a whole different set of questions), then the cost of engaging him is an allowable expense.


It's not an employee cost, nor wages (so don't call it that as HMRC might wonder where the PAYE scheme is), so in your accounts call it Sub-Contractor, and in terms of tax return, put it as part of the best sounding box that fits (there can't ever be enough boxes to fit all scenarios).

Subcontractor or employee - doesn't matter as it goes in the same box - ironically!

Box 19 Wages, salaries and other staff costs
This includes salaries, wages, bonuses, pensions,
benefits for employees, agency fees, subcontractor
labour costs (not included elsewhere), and
employer’s NICs. Don’t include payments to
yourself, your own pension payments or NICs.