Corporation tax deduction for VAT

[Leeb73]

Hi,

I have formed a ltd company and am on the flat rate VAT scheme.

If I buy a pay as you go phone for £500, can I claim the full £500 as a corporation tax deduction or can I only claim the pre vat amount as a deduction as I am on VAT flat rate scheme?

Any answers would be welcome.

Thanks

Lee

[LondonManc]

Have you asked your accountant?

[Eirikur]

Did you ask your accountant?™

[SlipTheJab]

Have you asked NLUKs accountant?

[Kenny@MyAccountantFriend]

The 500 would be an expense for the company in full when on the frs for vat.

This then decreases the company profit and the amount of corporation tax you pay.

It would not decrease your corporation tax by 500 it would decrease by 20% of this as this is the rate of CT paid on profits currently.

[northernladuk]

If I buy a pay as you go phone for £500, can I claim the full £500 as a corporation tax deduction or can I only claim the pre vat amount as a deduction as I am on VAT flat rate scheme?

Don't you mean if your business buys the phone surely?

[LondonManc]

Don't you mean if your business buys the phone surely?

Not necessarily. "If I buy it for business use, what can I claim back from my company?" is a perfectly legitimate question, just worded different. We love you being a twunt, just not a pedantic one.

[northernladuk]

Not necessarily. "If I buy it for business use, what can I claim back from my company?" is a perfectly legitimate question, just worded different. We love you being a twunt, just not a pedantic one.

It is but that isn't what he asked and I'll bet he doesn't understand it well enough to ask that one.
Anyway... It was a better reply than the one I wanted to put so am quite pleased with myself actually.

[LondonManc]

It is but that isn't what he asked and I'll bet he doesn't understand it well enough to ask that one.
Anyway... It was a better reply than the one I wanted to put so am quite pleased with myself actually.

Have you even got an accountant would have been what I was expecting from you.

[northernladuk]

Have you even got an accountant would have been what I was expecting from you.

Yeah but some young pretenders beat me to it. Thought I try the pedantry route to help educate the OP.