Promotional Vouchers

Sevren
Sevren Registered Posts: 101 Dedicated contributor 🦉
in General accounting discussion
Hi - I think this is straight forward, but any experience would be welcomed. I have a customer who wants to set up a sales loyalty scheme whereby his customers get M&S vouchers etc etc.

My understanding is that on the face of it, this is not so much a loyalty scheme but a business gift.

My advice so far is that the only way that this can be allowed for tax is if the vouchers are emblazoned with the companies logo so that it moves from being a gift to a promotional item.

Does anyone know otherwise ?

Many thanks

Comments

  • JodieR
    JodieR Registered Posts: 1,002 Beyond epic contributor 🧙‍♂️
    nice try, but putting a logo on the vouchers will not help. Quote from my ATT notes
    'Business Entertainment is not allowable, except for gifts (excluding food, drink, tobacco and vouchers exchangeable for goods) incorporating a conspicuous advertisment....'
    My notes are from about 5 years ago, but I don't think that the rules would have changed.
    If they want to get tax relief, they'll have to give the customers pens and post-it notes!
  • Poodle
    Poodle Registered Posts: 711 Epic contributor 🐘
    Hi

    Have they concidered a retrospective discount scheme instead?

    I have this with BT if I spend a certain amount I get a percentage back at some point in the future.

    Poodle
  • ademoore
    ademoore Registered Posts: 146 Dedicated contributor 🦉
    Sevren,
    I have an interesting article on promotional gifts to customers, outside of the normal pens & postit notes.
    If you PM me your email address, I shall scan it and forward it to you.

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