Tax issues…

It’s that time of year, when we’re all wondering why we’ve not taken the time to do our tax return! Aaargh. Now there’s a bigger issue with work.

I have a personal mobile (actually I have two, one with “A” mobile provider, the other with “B” mobile provider – both monthly contracts). When I joined my current company, I was told “you have a mobile so you don’t need a company contract – just submit your bill every month). Fine by me.

The company has just been fined an extortionate amount by the Tax people because they have done this with mobile contracts…
We have been told that our options are to get rid of personal phones, have the company take over the number and contracts etc. To, cancel personal phones and take out a new work contract. Or, to expense only the business calls we make…That’s great, only my line rental includes minutes for business and I negotiated a higher minutes rate to include my personal calls. My calls show 0:00p unless it’s a US call!! What do you do? I can charge all my business minutes back at the going rate for pay as you go, but I wont’ have a valid receipt for that… 

Aaaargh. I’ve just signed an 18-month contract on a deal including bundled minutes to cover personal and business, and bundled data costs for the email when I’m travelling and out of the office.

The tax office is clear – if you have a company mobile where the bill is paid for you, that’s ok. But you can’t have a mobile and submit your bill if it’s a personal phone!

 The waters are getting muddier though with the advent of the iPhone – a paid company phone is without tax liability at the moment. But, with added “leisure features” the iPhone could be seen by the tax office as a benefit in kind…

As it is, there are a few of us on personal contracts in the office still waiting to hear the verdict of what the company intends to do…


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