Memberships as business expense

Lindylou
Lindylou Registered Posts: 9 Regular contributor ⭐ ? ⭐
I have a client who is a pilates instructor. CAn she offset her gym membership against tax as she often sees clients there for 1:1 appointments, meets clients for meetings & also considers her gym attendance to be part of her ongoing fitness training for running her business.
My feeling would be that she could offset part of these costs.
What does anyone think?
Thanks very much

Comments

  • groundy
    groundy Registered Posts: 495
    Is the membership wholly and exclusively for use of her business - probably not and therefore I wouldnt allow.

    If she was hiring a treatment room or studio at the gym that would be a different matter.

    I some time meet my clients at the gym but certainly woudnt dream of claiming any percentage of my gym membership
  • reader
    reader MAAT, AAT Licensed Accountant Posts: 1,037
    groundy wrote: »
    Is the membership wholly and exclusively for use of her business - probably not and therefore I wouldnt allow.

    If she was hiring a treatment room or studio at the gym that would be a different matter.

    I some time meet my clients at the gym but certainly woudnt dream of claiming any percentage of my gym membership

    Unfortunately I would have to agree with the above.

    Furthermore, I don't think it would make a difference if she only ever used the gym membership for business. I've read case law (on the HMRC website) around IT technicians and lawyers who have said that they only ever used certain clothing for business and therefore it is deductible and these arguments were dismissed by the tribunals/courts because the clothes COULD be used personally.
  • Monsoon
    Monsoon FMAAT, AAT Licensed Accountant Posts: 4,071 ? ? ?
    reader wrote: »
    Furthermore, I don't think it would make a difference if she only ever used the gym membership for business. I've read case law (on the HMRC website) around IT technicians and lawyers who have said that they only ever used certain clothing for business and therefore it is deductible and these arguments were dismissed by the tribunals/courts because the clothes COULD be used personally.

    I'm not sure I agree with this. I agree that if there is any private use that it's disallowable.

    However, case law on clothes is that clothes have an intrinsic duality of purpose.

    If you have a gym membership that is wholly and exclusively for business i.e. you never use it to train there, but only use it for business purposes [why would you do this??] then I would allow it. The chances of ever finding this situation are 0.001% though :D

    A computer or an iPad COULD be used personally. But if you self-assess that they are 100% business, then they are allowed. That case law is worrying. Can you reference it please?

    OP: disallowable.
  • deanshepherd
    deanshepherd Registered Posts: 1,809
    I'm with Monsoon.

    I know personal trainers who have multiple gym memberships because different clients train in different places. Only one of his memberships is his 'home' gym where he trains himself and that is the only one we disallow.
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