Im doing the books for a self employed interior designer, she has some receipts for items that are clearly not business related, i.e. groceries, clothes. These have come out of her business bank account. should I post these on sage as drawings, or should they be treated in some other way. and would I treat these as T9 as I dont want to reclaim the VAT on them?
I agree at first glance to be put as drawings, however please check with your client first. you never know, they could be for a specific business purpose.
You never know, Fruit for a fruit basket!! Clothing for a show, or branded clothing etc..
I agree with all the above T9 for drawings, just check the food wasn't for a meeting with new client or something like that. I have a client who sometimes claims a few items off her food bill from waitrose as CPD as she is continually holding training sessions with people, and supplies cake, light lunch etc. just a thought although probably all drawings.
When you receive receipts you have to imagine that if any of the receipts relate to the business then you can use them, as HMRC would ask you the same question.
Every receipt that you enter in the drawings account is entered as a T9.
