Hi there. Why does QB accept half of my advertising as allowable and the other half as not?

I'm here to share some information about allowable expenses, @Nathan Smith.

Allowable expenses are any costs needed to run your business. These include the following:

• Office and equipment, including phone bills and computer software
• Travel expenses, including vehicle insurance and fuel.
• clothing, such as work uniforms
• Staff costs, such as salaries and pensions
• Goods purchased for resale (i.e. stock)
• Financial costs, such as the hiring of an accountant or business insurance
• Some costs associated with your business premises, such as heating and lighting
• Advertising/marketing costs, including the costs of running a website

Sometimes, only a proportion of an expense is allowable, where you'll need to split the expense between business (allowable) and personal (disallowable). 

Additionally, QuickBooks Self-Employed uses the simplified expense method (with flat rates) to calculate the allowable business expense for your car, van, or motorcycle. Using this method, you can't claim vehicle insurance, repairs, and servicing, or fuel costs, but you can claim all other travel expenses in addition to your simplified expense amount. Check out this article for more info: About car, van, and travel expenses

If you’re unsure whether an expense is considered business or personal, you can find out more on HMRC’s website. You can also find more information about allowable expenses in these articles:

• Simplified Expenses mileage method
• About SA103F Categories

We're always here to answer if you have any follow-up questions about. Take care always.