| | Deduction categories for allowable expenses |
| Description | This table shows how Sage Sole Trader categories map to HMRC allowable expense boxes. - Box 17 — Cost of goods sold
- Box 18 — Construction industry payments to subcontractors
- Box 19 — Wages, salaries and other staff costs
- Box 20 — Car, van and travel expenses
- Box 21 — Rent, rates, power and insurance costs
- Box 22 — Repairs and renewals of property and equipment
- Box 23 — Phone, fax, stationery and other office costs
- Box 24 — Advertising and business entertainment costs
- Box 25 — Interest on bank and other loans
- Box 26 — Banks, cards and other financial charges
- Box 28 — Accountancy, legal and other professional fees
- Box 29 — Depreciation and profit or loss on sale of assets
- Box 30 — Other business expenses
▼ Box 17 — Cost of goods sold | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Goods, materials and other costs of sales | Amount paid for goods bought for resale, if you use a cash basis | Normal selling price of goods or materials taken for private use
Cost of goods taken for private use | ▼ Box 19 — Wages, salaries and other staff costs | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | Staff wages and salaries
Staff training and other costs | Wages, salaries, bonuses, pensions, benefits for staff or employees, employers’ National Insurance contributions, agency fees | Own wages, drawings, pension payments, National Insurance contributions, if included in expenses
Payments for non-business work | ▼ Box 20 — Car, van and travel expenses | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | Hotel and accommodation
Travel expenses
Vehicle fuel
Vehicle insurance
Vehicle leasing
Vehicle maintenance
Vehicle - other costs | Motoring costs such as insurance, repairs, servicing, fuel, hire charges and licence fees
Flat rate vehicle expenses if used
Train, bus, air and taxi fares
Hotel accommodation and meals on overnight business trips | Private use portion of motoring costs
Fines
Cost of buying vehicles or cars when using cash basis
Travel between home and business | ▼ Box 21 — Rent, rates, power and insurance costs | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Rent, rates and insurance | Rent for business premises, business and water rates, light, heat, power, property insurance and security
If you use your home for business, the business proportion of expenses or flat rate amount | Costs of buying premises
If you live on the business premises, expenses of any private part of the premises | ▼ Box 22 — Repairs and renewals of property and equipment | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Property and equipment repairs and renewals | Repairs and maintenance of business premises and equipment
Equipment and tools when using cash basis | Repairs of non-business parts of premises or equipment
Costs of buying or improving premises
Equipment purchases under traditional accounting | ▼ Box 23 — Phone, fax, stationery and other office costs | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Phone and internet | Phone, mobile, internet, email and fax costs
Postage, stationery, printing, small office equipment and software | Private use portion of expenses
Hardware purchases when using traditional accounting | ▼ Box 24 — Advertising and business entertainment costs | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Advertising and marketing | Advertising in newspapers, directories, mail shots, free samples, website costs | Entertaining clients, suppliers and customers
Hospitality at events | ▼ Box 25 — Interest on bank and other loans | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Interest charged on loans | Interest on bank and other business loans
Alternative finance payments | Repayment of the loan, overdraft or finance arrangements | ▼ Box 26 — Banks, cards and other financial charges | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Bank, credit card and other finance costs | Bank, overdraft and credit card charges
Hire-purchase interest and leasing payments | Repayment of the loan, overdraft or finance arrangements | ▼ Box 28 — Accountancy, legal and other professional fees | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Accountancy and other professional fees | Accountants, solicitors, surveyors, architects and other professional fees
Professional indemnity insurance premiums | Repayment of the loan, overdraft or finance arrangements | ▼ Box 29 — Depreciation and profit or loss on sale of assets | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Depreciation and profit or loss on sale of assets | See HMRC guidance on calculating taxable profits | Depreciation of equipment or cars
Losses on sales of assets | ▼ Box 30 — Other business expenses | Sage category | Allowable expenses defined by HMRC | Non-allowable expenses defined by HMRC | | Other business expenses | Trade journals and professional subscriptions
Other general running costs not included elsewhere | Payments to clubs, charities or political parties
Non-business portion of expenses
Ordinary clothing | |
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