American Express Membership fee - Company Expense?

[Karl B.]

In the new year I have a contract in Europe travelling at least twice a month. Looking at Lounge access and Insurance American Express Platinum seems a good buy when compared to getting individual items. So Is an American Express Platinum fee allowed as a company expense.

 

[WaveJumper]

I don't no but my first question would be is the card in the company name. I am sure the many accountants we have on the forum will supply the definitive answer for you very soon

 

[MyAccountantOnline]

In the new year I have a contract in Europe travelling at least twice a month. Looking at Lounge access and Insurance American Express Platinum seems a good buy when compared to getting individual items. So Is an American Express Platinum fee allowed as a company expense.

Is the American Express card a company card in the company name or is it your personal card?

 

[Karl B.]

Is the American Express card a company card in the company name or is it your personal card?

Personal Card, but I can get a company one.

 

[Bobbo]

Personal Card, but I can get a company one.

pretty simple then
personal card, nothing to do with the company
if you get a company card, then it's a company expense

 

[AlanJ1]

pretty simple then
personal card, nothing to do with the company
if you get a company card, then it's a company expense

Summed up perfectly.

 

[HFE Signs]

Amex Business can be owned by both the company and a Director, meaning you can use it for Business purchases but you use the points personally without tax liability.

I know people who have these cards just for their Google Adwords and Amazon purchases and they get all the points to use personally. Pretty good option

 

[Argentum Tax]

pretty simple then
personal card, nothing to do with the company
if you get a company card, then it's a company expense

@Bobbo, if I can expand on your reply, please:

Spending on a company card is a company liability and a company expense.
However, importantly, the company is liable to enter all spending on the card which is not 'Exempt' (according to HMRC rules) on Form P11d and the amount is subject to deduction of PAYE and National Insurance though payroll.

Full details are on the HMRC website by searching on: Expenses and benefits: credit, debit and charge cards. (Sorry I cannot post links)

 

[Bobbo]

@Bobbo, if I can expand on your reply, please:

Spending on a company card is a company liability and a company expense.
However, importantly, the company is liable to enter all spending on the card which is not 'Exempt' (according to HMRC rules) on Form P11d and the amount is subject to deduction of PAYE and National Insurance though payroll.

Full details are on the HMRC website by searching on: Expenses and benefits: credit, debit and charge cards. (Sorry I cannot post links)

My comment was limited only to the 'membership fee', which if it is a corporate card would be a company expense.

I make no comment on the treatment of subsequent spending on the card, to which your comment is quite right and should not be ignored by OP.

 

[IanSuth]

My brother works for a large accountant beginning with D, he used to have to pay for all his own travel and then reclaim it, he did this through a credit card that earned him a shed load of points

Someone queried and the entire organisation now does it via a business travel provider (who are a pain to deal with and take ages to deal with changes) because apparently the points could be seen as a benefit in kind.

I think it is one of those things where it depends who you ask but once noticed never forgotten as it were