Hello all, I've now got my first client and today he asked a question that I wasn't sure of the answer for.
Basically my client spends a fair amount on small gifts (pens, key rings cups , etc.) that he intends to give to his clients, all are branded with his business name and logo, and he want to but these through his accounts so that he can keep track of how much he spending on them and how they are affecting the profitability of the business.
I know that business entertainment and gifts are generally not an allowable expenses (except if they are promotional gifts, which these are not anyway). But this is from the view of HMRC is it not? As long as I put these into a "non-allowable expenses" ledger (with a note saying that they are not to be used for working out taxable profit) then is there any problem in putting these expenses through the accounts?
Thanks in advance. Torben
- Edit: Correct spelling mistakes.
Edited at 26 Jul 2011 07:41 PM GMT
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