Purchasing goods for research ?

[Ruthierhyme]

If you buy something that is directly related to the business but is more like an investment than a return of money .. how do you include it in your accounts ?

Do you write what it is and why you bought it ... have the odd feeling I'm supposed to be justifying everything I buy!!

[antonia]

what is it? I just put stuff down in expenses and claim everything I can!

[Ruthierhyme]

LOL :D sounds good and I could soo kick myself at times but trying to make the business a true reflection of what I've done with it .. I hate the tax system and not having a clue how the it all works doesn't really help !!

I bought some toys to see what the play value was and intend to write a personal review & post it in the forums .. and also base some of my own Product development on the outcomes .. but I'm having to re title my accounts 'outgoings to know where to include the cost .. I guess thats where I fail .. I have no idea if my 'titles are legit ~ having panicked over the phrase 'devolved capital' that my business advisor dropped into a conversation ages ago ... arghh :(

re reading this I suppose I also feel guilty at initially classing the toys as the Children's rather than the businesses !!?

[Chell]

Sorry to pinch your post but can you claim petrol for things like going to the Spring Fair? Do you just put it down at a price per mile or should I have got a receipt for petrol?

I joked with DP that we should have got a receipt for our lunch and claimed that too.

[Lemon]

I would put it down. I bought a couple of books recently that I have put down as "Research". Agreeably they are business type of books. Do you have an Accountant ? If so, put it down and they will always question it at the end of the year if they think there is anything wrong.

[Ruthierhyme]

No .. well .. I intend to get a different one closedmouth1111 !
I wanted to be able to handle the accounts myself, at least so I know what I'm supposed to be doing and what's going where .. when in the mood like filling in coloumns lol

I have a tabled word .doc as I can't get my head around excel or accounting software packages !!