I have a client that has a boat charter business. Customers sleep on the boat and then when the boat is returned my client has to wash all the bed linen etc. They have asked me if laundry costs are allowable. I have looked on hmrc and can find info on cleaning uniforms but not for bed sheets. Can anyone help me? If allowable is it a fixed amount, if not how would I calculate it as they use the machine for their personal laundry as well.
I think that the issue here is that it is being thought of as laundry rather than general cleaning costs as would be applicable in an office environment.
We are not talking here about laundry such as uniforms but rather cleaning not disimilar to the public area's of a hotel.
My take is that the genuine directly applicable cleaning costs are a tax deductible expense.
Would it not make sense in order to keep this seperate and a properly costed service to outsource the cleaning of the sheets / towels etc. to a local specialist service company that perhaps deals with local restaurants and hotels?
kind regards,
Shaun.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
Thanks for your answers. They are a start up and not yet profitable so trying to do as much as they can themselves so I'm guessing a professional laundry would be out of the question at the moment. So it's calculating the amount and having evidence of it that is the problem. Will have to think....
Hi Princess, these costs appear so small (EG. 52 x 20p) that it is highly unlikely they'll be challenged by HMRC. I would have no hesitation if the costs were far more than that. Please let me know if I have the wrong end of the stick. Kind regards, Tim