Transfer fixed assets into startup business? -

My boyfriend wants to start a business as a heating engineer. I understand that to minimise tax we need to maximise the amount of allowable expenses in relation to the income he receives from customers. But I have a question relating to fixed assets.My boyfriend was previously employed and therefore he owns a fair amount of equipment and stock. How do I bring these items into the business so that I can claim allowances and reduce his taxable profit?Thanks

As far as I am aware you can bring these assets into the business at an appropriate value - ie you cannot claim they are new, but their initial value will be their current second hand price. You can then claim capital allowances and write down the value in the normal way. Because they are not new you will not be able to claim the Annual Investment Allowance (which allows 100% write down of the first ��50,000 a year of new purchases) against them.

Speak to an accountant or contact HMRC and find when they have a free seminar day near you. Those are really good for asking just the sort of question you have put here.If the equipment was bought within 6 months of starting the business, you may be able to claim allowances on it. I think they re allowable.Good luck with the new business!

To be honest its doubtful if he can as these items were purchased BEFORE the business started upAn accountant could help you with this, but you will need to produce the original receipts and these will show that the items were previously purchased and previously used

i think they will ask u about the orginal purchase contract which i think that you dont have it so it would be a problem for u to reduce the tax ,,,, maybe if u can make a fake one ;) but it will illegal but it worth the risk isnt ???