Relief for school fees?

[chrisl]

Having a limited company, i want to make a contributions to my Nephew's school fees and wondered if there is any tax-efficient method of doing this?

Either by paying from the company or if that is not possible, is there any relief for a personal contribution from my net income?

I believe a 'deed of covenant' was scrapped years ago?

[JoJoGabor]

I very much doubt it. My accountant uses the rule for anything, "Is it solely for the benefit of the company" I cant see how you could justify this. Maybe an apprenticeship when he is older?

[BolshieBastard]

Having a limited company, i want to make a contributions to my Nephew's school fees and wondered if there is any tax-efficient method of doing this?

Either by paying from the company or if that is not possible, is there any relief for a personal contribution from my net income?

I believe a 'deed of covenant' was scrapped years ago?

How is making a contribution to your nephew's education 'wholly and exclusively' in connection with your company's business?

If you want to contribute to your nephew's education, do it out of the money your co pays you. Your ltd co is its own legal entity (and I suspect you know this) and has no legal way of making such a contribution.

[Greg@CapitalCity]

Afraid not

Where you are contributing to school fees, any payments made from your business account to the school will be treated as salary, and taxed as such. And there is no tax relief if you pay for the school fees personally.

[Sockpuppet]

Isn't this to do with some schools declaring themselves a charity?

[SueEllen]

Isn't this to do with some schools declaring themselves a charity?

The problem would be that your charity contribution to the school can't be linked to the decrease in your nephew's school fees.