Mrs Bloggs reckons we can give a bottle of nice malt whisky as a business gift to a client rep who has been very helpful and supportive over the last year and has actually fought our corner (and won) against a rate cut. She reckons we can claim it as an expense. Reading "480(2009) - Expenses and benefits - A tax guide." It says below-
I reckon we can't claim this as an expense? What do the panel think?
Business entertaining and gifts
20.10 Entertaining includes hospitality of any kind and also expenditure on business gifts other than free samples of the trader’s own products distributed with the aim of advertising to the general public. There is, however, a limited exception for gifts which incorporate a conspicuous advertisement for the donor. This exception does not extend to gifts of food, drink, tobacco, or vouchers exchangeable for goods. Further, it is subject to the condition that the aggregate cost to the donor of the gifts does not exceed £50 a year in the case of any one recipient.
20.10 Entertaining includes hospitality of any kind and also expenditure on business gifts other than free samples of the trader’s own products distributed with the aim of advertising to the general public. There is, however, a limited exception for gifts which incorporate a conspicuous advertisement for the donor. This exception does not extend to gifts of food, drink, tobacco, or vouchers exchangeable for goods. Further, it is subject to the condition that the aggregate cost to the donor of the gifts does not exceed £50 a year in the case of any one recipient.
Comment