Self-employed expenses: a practical checklist
Allowable expenses reduce taxable business profit. They are not repaid pound for pound, and the appropriate treatment depends on your business and accounting basis.
Where should I start?
Organise income and costs by tax year. Separate materials, equipment, travel, memberships and homeworking, then record any private-use share.
What about CIS deductions?
CIS taken from your receipts is tax already paid, not an expense. Reconcile contractor statements and use the correct tax-paid field.
Can I add the trading allowance to expenses?
Do not combine them for the same trade without checking the rules. Compare the available methods and their conditions.
Are directors treated the same?
No. Limited companies and their directors have separate rules. Keep company and personal costs apart.
Before you claim
Keep records, subtract reimbursements and check what you have already claimed. Entitlement depends on your circumstances in each tax year. You can use HMRC’s services yourself without buying a report.