Clothing Allowance

[magic28]

I am new to this forum so hi to all, I am looking forward to getting to know you all.

I have a question I am hoping someone can help with...

I am a director of a Ltd company and I want to know whether I can buy myself clothes to wear at work from the business bank account. These would not be specialist or embroydered clothes just general work wear like suits, skirts etc.

Thanks in advance

 

[MikeJ]

Yes, but they are taxable benefits so there's no point.

 

[magic28]

Thanks, so how would I pay the tax on in then if I were to buy them directly with the business debit card? Would my accountant take this into account when she does the accounts etc?

Thanks again

 

[MikeJ]

It would be a benefit in kind on your personal tax return.

I'd really not recommend it, it'll raise the Revenue's suspicions that you're doing stuff you shouldn't, and they may take a lot more interest in your accounts.

 

[akirk]

just pay yourself a bit more through your normal salary / dividends / etc. process

Alasdair

 

[dharm999]

Why not have your company name/logo, on them, very small and claim the cost as a business expense? We put small tags onto the uniform we supply to our oficers, often called tax tags, which have the company name or logo on them, and as a result the cost is claimable.

 

[JElder]

My understanding was that if they were work ONLY clothes - not suitable for wearing elsewhere - then they were not a benefit.

You would not get taxed if you were supplied PPE or similar....

Like the earlier post said, get a small logo added, and ensure they are only used for work.