Legal costs of buying property or equipment are not allowed for tax purposes as such costs are treated as capital expenditure and included in the purchase price of the asset and subject to capital allowance rules for reclaiming allowances over the life of the asset. Costs of settling tax disputes are not allowable and also fines imposed upon the company bare not allowable tax expenses.

Depreciation of fixed assets is a management decision and not allowable for tax purposes. If depreciation is deducted from the management accounts to report the net profit for tax purposes the depreciation is then added back as the allowable tax claim is the capital allowance applicable to those capital fixed assets. Same with profits and losses on the sale of fixed assets which are accounted for under capital allowances.

Specific work uniforms and clothing is allowable whereas ordinary clothing albeit suitable for the work being carried out is not allowable.

Small self employed business may not claim donations to clubs, charities, associations or political parties are not allowed for tax purposes. Subscriptions to trade associations which could be connected to the business objectives would be allowable as being for business purposes.

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