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Where Taxpayers and Advisers Meet

Can education related to new business be treated as a company expense?

good2bme
Posts:2
Joined:Tue Oct 27, 2020 9:39 am
Can education related to new business be treated as a company expense?

Postby good2bme » Tue Oct 27, 2020 9:57 am

Hi,

I have a full time job and considering incorporating a company to do additional contract work outside of my 9-5. There are several training courses I am currently considering taking which relate directly to the business. My question is would it not be wise, to incorporate and fund the company and have it pay for the training. The idea here is education and training relating to the business should be an allowable business expense.

Does that make sense or am way off?

bd6759
Posts:4262
Joined:Sat Feb 01, 2014 3:26 pm

Re: Can education related to new business be treated as a company expense?

Postby bd6759 » Tue Oct 27, 2020 9:41 pm

Forming a company before you have an income stream is not always a good idea because the costs outstrip the benefits.

But, that said, if you want to route your money through a company in the hope that the company will benefit from a deduction in the future, your analysis is not wrong.


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