Hi there - can anyone clarify a few things for me??? I know that entertaining customers is not an allowable expense - am I right in saying that business meals involving just staff are allowed? If you have a receipt for a meal which your client is trying to claim as a business expense do you just tend to code it to staff lunch or do you dig a little deeper? Hope I am making sense! Yet again any replies would be greatly appreciated! Nicky
Business meals are allowed and you can even claim the VAT if any. It must be for a business expense though and this may be hard to prove! If the client entertains customers, then only the portion for the client is allowable for tax purposes - does not mean you cannot put it in the accounts, just have to make an allowance when doing the tax calcs.
