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Have you thought about claiming tax relief for your office Christmas Party

Thursday 16th February 2012 2:01 PM

Expenses for which you can claim tax relief can be a little complicated.

It is widely understood that you can not claim tax relief against Entertainment but is the office Christmas Party entertainment ?? No Christmas Parties are classed as a "Qualifying Annual Event" and in recent years the maximum allowance for which you can claim tax relief has increased to £150 per head per year.

Per year means you can include other events such as birthdays, Easter etc

Per head means that partners of employees can have their own "allowance"

You can claim against tax, national insurance and VAT for the employee's element (not the partners)

Criteria is that the party must be open to all employees of that department/location/company.

You must not exceed £150 or you will lose ALL of your allowance

Merry Christmas