Mobile Phone plan for business and private use

egyman

I'd appreciate your kind guidance:

If my company buy me a mobile phone on 2 years contract plan (handset for down payment+fixed monthly payment). Can I claim percent of the cost as business expenses (let's say 50%).

Is there any limits on this cost, as it is for at least 2 years.?

Thanks in advance.

namenotavailablE

Any claim depends on who is paying the bills and the level of private usage of the phone.

This link might be relevant (shows the treatment of an employer providing a phone to an employee):

https://www.revenue.ie/en/employing-people/benefit-in-kind-for-employers/other-benefits/internet-computers-phones-and-work-related-supplies.aspx

egyman

Thanks a lot,

I see line rental is covered in the case of Landline. As you know, many of the mobile phone plans, has a fixed cost over the course of the plan, let's say 60 Euro / Month, which is a line rental + free calls. In this case there is no specific cost for business or private use, even if you did not make a call, you will be charged for the 60 Euro every month.

Is such monthly cost can be claimed on 50% private usage?

Calahonda52

egyman wrote: »

Thanks a lot,

I see line rental is covered in the case of Landline. As you know, many of the mobile phone plans, has a fixed cost over the course of the plan, let's say 60 Euro / Month, which is a line rental + free calls. In this case there is no specific cost for business or private use, even if you did not make a call, you will be charged for the 60 Euro every month.

Is such monthly cost can be claimed on 50% private usage?

So the company pays for the handset by way of a two year contract and you, as an employee, now want to claim 50% of this as business expense against your PAYE tax.

Iff I am right here what you are proposing is fraud.

Rule one in this space is that the taxpayer must have incurred the cost and it must be wholly exclusively and necessarily ( or maybe just 2 of them, I forget) incurred for the purpose of the business.

egyman

Calahonda52 wrote: »

So the company pays for the handset by way of a two year contract and you, as an employee, now want to claim 50% of this as business expense against your PAYE tax.

Iff I am right here what you are proposing is fraud.

Rule one in this space is that the taxpayer must have incurred the cost and it must be wholly exclusively and necessarily ( or maybe just 2 of them, I forget) incurred for the purpose of the business.

There is no Fraud here, It seems I misinterpreted my question, I will try to be more clear:

If a company bought a mobile phone for business/private usage and got this phone by using a 2 years contract plan, which will include fixed monthly payment.

Can the company claim 50% the total cost of the phone-plan as business expense (50% of the total cost, as the other 50% will be private).?

I’m surprised you can’t just claim it fully as a business expense.

I’ve yet to see anyone paying BIK on company provided phones and most people use them as their personal phone also which would be the equivalent of what the op wants to do.