Partnership accounts and allowable expenses

Munster4

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Hi, My spouse is in a partnership and I am preparing the partnership accounts for the business. I have some questions on what expenses are allowable or reasonable for the partners to claim -
1. Motor expenses. The partners supply me with their receipts/ invoices for running costs of their car, together with their best estimate of the business element of these costs. Am I right in thinking that they should be reimbursed for this cost from the business bank account rather than through their individual tax return? Secondly, one partner has supplied me with costs associated with a second vehicle he owns - I presume each partner can only claim for motor expenses against one vehicle?
2. Home office costs and other home costs. The partners can be required to do some work at home at times. Can they claim for costs associated with a home office eg printer, ipad, ink, stationery, office lighting? Also, can they claim for a reasonable percentage of their home heating, esb and phone costs? Again, as above, is this a payment that should be made from the business bank account to each partner, or for each partner to manage through their personal tax return?
3. Attendance at conferences. During the year there have been some conferences attended which they do for CPD purposes. Are they entitled to claim back hotel and food costs associated with attending such conferences? If so, is this something for inclusion in their personal tax return or for reimbursement through the business?
4. Professional tax fees. Each partner uses a professional to prepare their tax return. Is that fee an allowable expenses in the partnership accounts?

Thank you very much for any advice anyone can give.
 
I think you may be out of your depth here. The answer is at 4. Hand over your accounts to the professional who is likely to be an accountant and will know what to do.
 
I would think that you can probably do either - they will have to file income tax returns with details of their share of the income and expense so whether the do this via the business or through personal claims is probably makes no difference.

I am assuming that the partnership is a partnership and not a limited company

From the Revenue website
Partnership
A partnership is where you run your business with one or more people. The person who is responsible for keeping records of the business is called the 'Precedent Partner'.

Each partner must pay Income Tax, PRSI and USC on their share of business profits. You include your share of the business profits in your own personal tax return. The partnership must pay any employee PAYE, employer PRSI, VAT and RCT due.

You may also have employees. The employees' salaries are paid through the PAYE system.

A partnership’s annual return is the Form 1 (Firms). The Precedent Partner must complete this form.

When you register the partnership, Revenue will issue a Tax Reference Number for the partnership. This number is used to register for employer PAYE, employer PRSI, VAT and RCT. Your personal tax matters will be dealt with under your PPSN.
 
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