entertaining allowance

[handyandy]

Hi everyone, could somebody tell me how much my business would recoup if we spent say £130.00 on a xmas meal (we are a small company

Its not that i'm tight more that i would like to take advantgage of any allowances possible! or is that being tight

[Joyous]

The cost of staff parties and any other form of staff entertaining is tax deductible. Typically, this will cover the Christmas party or annual dinner.

As long as the annual cost of any staff functions is kept under £150 a head (including any VAT), there will be no taxable Benefit in Kind for the employees either. This allowance can be used to exempt one or more functions each year, the total cost of which does not exceed £150 per head.

Regards

Joy

[handyandy]

Thanks Joyous but just to clarify would the expenses be 100% tax deductable?
I have been working 80 hours a week since starting my business so have not had much time to look into such things.