Do I categorise a laptop an expense or an asset?

Accounting
1

Our business (Ltd company) has purchased an expensive laptop for business use.

At the moment I have categorised this as Capital Expenditure (asset), but then it does not come under expenses to be deductible from Corporation Tax. Is this right or should I re-categorise it as something else?

Thanks

2

I’m not an accountant so I suggest you check with yours to be sure, but I would consider it an asset rather than an expense on the basis that it’s something you’ll keep and get use out of for several years. I’d categorise it as something like “office equipment” rather than “capital expenditure”, and while you’re right that assets like this don’t count as deductible expenses for tax purposes you should be able to claim the same amount as “annual investment allowance” which has the same effect.

3

Never mind, got a bit confused there!