classifying food expenses for a restaurant review business
Wonder if someone could help with the following:
We are setting up a new Ltd company which will publish restaurant reviews online. In order to create content for our reviews - we need to purchase food at various restaurants for the purpose of reviewing.
Is it possible to classify these food purchases as marketing costs or similar and benefit from tax relief? Or would HRMC automatically deem them as "entertainment" due to the nature of the expense?
Any help much appreciated.
Thank you,
Layla
We are setting up a new Ltd company which will publish restaurant reviews online. In order to create content for our reviews - we need to purchase food at various restaurants for the purpose of reviewing.
Is it possible to classify these food purchases as marketing costs or similar and benefit from tax relief? Or would HRMC automatically deem them as "entertainment" due to the nature of the expense?
Any help much appreciated.
Thank you,
Layla
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Comments
I think it might be worth asking HMRC directly about the scenario. However when I see this I feel it wouldn't be entertainment since it's part of the job and not an extra bonus for employees.
ACCA in progress
F4- Passed Aug 2020
F5- Passed Dec 2020
F6- Passed Sep 2020
F7- Planned June 2021
F8
F9 - Planned June 2021
If the expenses are legitimate business expenses then it is fine to claim them, just make sure you can back them up with the actual printed reviews and obviously it only takes one person to eat and give a review.