Private school fees
sjkr
MAAT, AAT Licensed Accountant Posts: 74 💫 🐯 💫
Hello,
I know a businessman who sends his children to a fee-paying independent school. He claims that he will be able to claim some of the fees as a tax allowable expense through his business. Is this the case? I thought that he would not be able to as they are not a business expense!
JP
I know a businessman who sends his children to a fee-paying independent school. He claims that he will be able to claim some of the fees as a tax allowable expense through his business. Is this the case? I thought that he would not be able to as they are not a business expense!
JP
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Comments
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They are classes as part of his drawings, and therefore not applicable for tax purposes.0
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I can't see how they are a tax deductible expense.
If he runs a Ltd Co, then they could be fully deductible as a benefit in kind provided to him via his company - but surely the tax charge and the Employers NI would make this a more expensive way to run things even after the corporation tax saving?0 -
Agreed for the Ltd company but is this provided for all the employees of the company if not it is a disallowble expense0
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That's as I thought, thank you all!0
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Agreed for the Ltd company but is this provided for all the employees of the company if not it is a disallowble expense
A-Vic, I didn't think it had to be made available to all employees? I know, say, a canteen has to for it to be allowable, but things like medical insurance, company car, can be available to select employees I thought, and wouldn't school fees come under this?0 -
A-Vic, I didn't think it had to be made available to all employees? I know, say, a canteen has to for it to be allowable, but things like medical insurance, company car, can be available to select employees I thought, and wouldn't school fees come under this?
I was thinking child care scheme. of course its a disallowble expense ignore me0 -
There is something to do with pensions and school fees but I am not 100%0
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Just checked and it tax planning more that tax deductible0
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This is one article but it is 2007 I am certain I read something recently on similar lines,
http://www.timesonline.co.uk/tol/money/consumer_affairs/article2398251.ece0 -
Many independent schools make use of the childcare vouchers scheme for their fees.
They cannot be used for the education but most schools have afterschool clubs which come under the remit of childcare. Therefore, the fees are split and can be paid by the parents employer/business.0
