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youre self-employed which means you have essential costs to keep your business running you can deduct these costs called allowable expenses to work out your taxable profit but remember if youre using the one thousand pound tax free trading allowance you cant claim any expenses allowable expenses include office property and equipment including cars and vans staff any legal and financial costs and marketing and subscriptions you cant claim for anything you spend on personal things such as your home and accommodation food clothing holidays and anything you buy for you and your family you may want to use simplified expenses this means you claim a flat rate instead of working out the actual costs for example for car travel you can claim 45 pence a mile up to 10 000 miles and then 25 pence a mile over this amount if your income is 85 000 or more youll need to list each expense individually under the appropriate heading this also applies if you didnt trade a full year but would have ear
