Hi, I was just wondering what nominal account to put the purchase of a Business Mobile Phone under? and whether or not it is considered to be an allowable business expense?, thank you so much for your time.
It depends if you’re trading as a limited company or sole trader, if a limited company then as long as the contract is in the company name, the line rental and business related calls are allowable.
If trading as a sole trader, then may be prudent to only claim the business related calls, unless you can prove the mobile phone is wholly and exclusively for the purposes of the trade .
The category to use would be ‘Telephone and Mobile Charges’. As usual if you unsure about anything, we would always advise speaking to your accountant for clarification.