This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

What box on self assessment?

JoBo1
Posts: 16
Joined: Wed Dec 18, 2019 1:25 pm

What box on self assessment?

Postby JoBo1 » Sat Jan 11, 2020 7:52 pm

Hi
I am paying ongoing royalty fees under a franchise agreement (% of sales to franchisor, NOT for the purchase of the franchise) - what box on the tax return do these % fees go in?

TIA

robbob
Posts: 2879
Joined: Wed Aug 06, 2008 4:01 pm

Re: What box on self assessment?

Postby robbob » Sun Jan 12, 2020 10:49 am

It probably matters very little - the advise is open to interpretation in this regard as there are limited choices - feel free to make a relevant note if you feel the figure may look outsized compared to others.

Other expenses is probably the obvious choices as none of the labelled boxes really cover franchise fees as far as i can see.

You could include in "cost of sales" - the notes to the full self employment pages advise that one should enter "commissions" paid into this box - so you may take the viewpoint that the franchise fee is practicably speaking a commission type payment.

If you have used another similar box in the past eg professional fees i wouldn't really worry too much - it won't be an issue if the expense is in a box that other may not think is the most suitable as long as the expense is allowable.

JoBo1
Posts: 16
Joined: Wed Dec 18, 2019 1:25 pm

Re: What box on self assessment?

Postby JoBo1 » Tue Jan 14, 2020 5:23 pm

Thank you Rob for the different options, thats very useful.

My initial thought was COS but couldnt actually locate anything in the self assessment notes (need new glasses!), but I had dropped them to prof fees. A white space not is a good idea.

Thanks again


Return to “Income Tax”