Tax Tip–Making the Most of Your Self-Employed Expenses

close up of a person typing on a laptop

As we enter the new tax year, now is the perfect time for self-employed businesses head start on their 2021-2022 tax return. The more time you give yourself to do your books, the more accurate they are and the likelier you are to find opportunities to save on your tax bill.

Self-employed businesses pay tax based on their profits for the year, with various expenses that they can claim before calculating their gross profit. So, make sure to consider what expenses you can deduct from your profits before filing your tax return – it could greatly reduce your tax bill!

Knowing What Self-Employed Expenses That You Can Claim

Not every self-employed business understands what expenses they can deduct from their taxable profits. There’s a variety of expenses that can be claimed, with expenses varying signficantly depending on the type of business.

For example, self-employed businesses with a business premises will have different expenses compared to self-employed businesses working from home!

Here’s an overview of some common expenses you can claim for a self-employed business premises:

  • Utility bills such as heating, lighting, and water.
  • Rent for the property
  • Cleaning the property
  • Property repairs and maintenance

Here’s an overview of expenses you can claim if self-employed and working from home:

  • Utility bills such as heating and lighting
  • Council tax
  • Property insurance
  • Property maintenance

Note – You can’t claim 100% of your home bills on tax, with the amount based on the overall square footage/number of rooms used for business processes, along with weekly hours spent working.

Don’t forget about travel expenses either! You can claim the following business expenses for travel and accommodation:

  • Cost of travel and accommodation for any business trip
  • Vehicle expenses such as fuel, tax, insurance, and maintenance

Make sure to keep an accurate record of all your business expenses – it could help save on your self-employed tax bill!

Accountants across Yorkshire

Our accountants are based all around the Yorkshire region, although we work remotely with clients nationally. If you are looking for accounting services in Yorkshire, you can find out more here:

Contact Us

Please call or email to arrange your FREE consultation for any of our services.

Meet the Team

We’re a modern, friendly and proactive accountancy service.

team member artwork


Signup for our weekly business newsletter and special offers!

Let's discuss how we can help your business

Our goal is to remove as much time and stress from the accounting and bookkeeping side of your business so that you can focus on what matters more to you.