An unincorporated trade, or profession, excluding partnerships where any partner is not an individual may claim certain expenses on a fixed rate basis. There are 3 categories of expenses which can be claimed as follows:

Motor expenses for either a car or goods vehicle may be claimed under the Approved Mileage Allowance at the rate for cars. This also applies in respect of motor cycles, but not for bicycles. Where capital allowances have previously been claimed on the vehicle, mileage allowances are not claimable.

The mileage allowances claimable for 2020/21 and 2021/22 are follows:

A deduction may be claimed for the use of the individual’s home, or homes for business purposes. There are 3 rates of allowance depending on the number of hours worked at home each month, as follows:

Where the individual occupies premises as his home, but the premises are occupied mainly for the purposes of carrying on the trade, and the individual incurs expenses in relation to those premises, then a flat rate deduction may be made from the expenses to arrive at the qualifying business expense for that year. The amount that must be deducted from the expenditure is as follows:

A relevant occupant is defined as an individual who either:

Occupies the premises as a home, or

Stays at the premises otherwise than in the course of the trade.