Specialist advice for GP Medical Practices

Working within the NHS, resources and funding are always going to be critical to your general practice, but so is getting the correct financial and accounting advice to guide you through the myriad of conditions, rules and restrictions.

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Claiming for Business Expenses

Knowing when to claim for business expenses will reduce your tax bill

GPs can claim business expenses which will MATERIALLY reduce their tax bills. Being self employed, GPs are able to claim business expenses against their profits.

Properly advised, a business expense of £1,000 could reduce your year-end tax payments by up to £630. Because of this, HMRC scrutinise claims for business expenses in detail and GPs are regularly the subject of HMRC tax investigations.

How we can help

We are CHARTERED TAX ADVISORS, expert in ensuring our GP clients claim the maximum business expenses and pay the minimum tax. We always act within the guidelines and the spirit of the law laid down by HMRC.

What expenses are tax deductible?

We have set out some of the types of expenditure that may be allowable. It should not be seen as an exhaustive list – what is allowable depends on the facts in each case.

Can I pay my spouse a salary or a pension contribution out of the practice?

This is the most popular question we are asked by our GP clients. And the short answer Is YES!

If you pay your spouse a salary or a pension contribution at a commercial rate for the work they do for your practice, HMRC will not object.

Depending upon your individual circumstances this could save a significant amount of tax.

Can I claim for professional subscriptions?

The subscription costs we help our clients claim a deduction for on a regular basis are: MDU, MPS, BMA, GMC.

An annual subscription to a body shown in the list approved by HMRC is allowable where either the subscription is paid by a self-employed individual or by an employee, and the activities of the body are directly relevant to the self-employment or employment.

Use this link to access the full list: http://www.hmrc.gov.uk/list3/

What about Motor Expenses?

Motor expenses can be claimed on a car assuming it is used for business purposes. The expenses have to be apportioned so that only the percentage incurred ‘wholly and exclusively for the purposes of the trade’ are allowed. Fuel efficient cars now attract tax allowances of 100%.

You can find our more detail on our Motor Expenses page

If I work from home can I claim for that?

If you carry out work related to your practice from your home, you will be able to claim a tax deduction to cover the additional costs of working from home. There are several ways to claim.  Some accountants use a fixed amount per week, while others calculate a claim using a percentage of the actual running costs of the home.

Some GPs think that if they make this claim there will be a capital gains tax implication when they sell their home. This will not be the case as long as no part of the house is used exclusively for business purposes.

What else can I claim for?

Many other types of expenses can be claimed by GPs. We provide our GP clients with detailed checklists and advice to ensure that all allowable expenses are claimed.

How Nichols Medical Accounting can help

We can advise clients on:

  • Which expenses are deductible for tax.
  • How to make the relevant claims.
  • What percentage of a cost can be claimed as a business expense.
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Contact us for specialist medical accountancy services for GP Medical Practices

If you’re looking to plan your finances for the future or trying to find an answer to a problem then get in touch today.

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NHS PENSION REVIEW

Are you in danger of being hit with a huge tax bill on your pension growth? Our NHS Pension Review Service can provide an advance warning of impending pension issues.

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TAX ENQUIRY PROTECTION

HMRC have increasingly got GPs in their sights and many Practices have been subject to lengthy tax investigations. Make sure you’re covered with our annual insurance scheme.

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EXPERT CONSULTATION

Talk to one of our Medical Accounting Team for free. We can discuss your circumstances and how we can help you achieve better financial management, reduce your tax bills or plan for the future with a tailored fixed price plan.

Meet our team

We have a panel of subject experts and a team of professional accountancy support staff to make sure your specific needs are met reliably and cost effectively.

HOW WE CAN HELP

A specialist healthcare team to advise you
Call free for support at any time
Keep you up to date with the latest changes
No fuss, smooth process to change to us
Members of AISMA - Association of Independent Specialist Medical Accountants

What our clients say…

Tracy Ford, Practice Manager

We have been with Nichols & Co for over a year now. Very smooth transition with good communication at all times. We found them very professional and their knowledge of general practice is very reassuring. They make what can be complex situations easy to understand.

They have also introduced us to a Personally Administered Items claim review service, which has helped us not only making a retrospective claim for the missed income but also delivering improvement in our PAI income going forward.

I wouldn't hesitate to recommend them to anyone looking for an excellent, friendly, reliable accountancy service.

Dr William Jasper, GP Partner

We have received an excellent service since we moved to Nichols & Co. The transition has been the most hassle-free and transparent. They are always very helpful with any queries you might have and have a very good working knowledge of General Practice and are keenly aware of the challenges Practices face within the changing environment of the NHS.

We have been very impressed by the way Nichols & Co continue to deliver the range of services they provide from Accounts to Tax and NHS Pension advice.

At the year-end meetings, the accounts are presented in an understandable format without any unnecessary jargons. We have found Practice consultation and advice on Practice as well as personal tax matters from Nichols & Co specifically helpful.

We would not hesitate to recommend them to other GP Practices.

Drs R and N Nair

Nichols & Co have been our accountants for the last 6 years and we always feel that we are a valued client of theirs. They respond promptly to any queries you have either via email or telephone or if need be, in person. Each year Debra visits me at my practice and takes time to go through the accounts with me so that I really understand them, helping me make better decisions.

In 2017, we moved into new premises, and Nichols and Co were able to assist me with claiming back a large amount of tax on the refurbishment of our new premises.

Our practice has changed a great deal over the last few years and having the support of a good accountant has been a great help. I would recommend them without reservations.

GP Partner, London

Nichols and Co have provided high standard medical accountancy services to our GP practice for many years. 

They are experienced in their field and provide a dedicated partner who attends our annual financial partnership meeting. This meeting allows time for all involved to raise queries regarding issues such as tax and pension. Additionally, wider comparisons are made with local and national figures. Queries raised at other times are dealt with in a professional and time efficient manner.

I can recommend them.