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January 24, 2021
Question

I use QB self employed. In my tax summary my van lease monthly payments are under disallowable expenses. How do I change this to allowable expenses?

  • January 24, 2021
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1 reply

January 24, 2021

Good day, @johntindall.

 

Let me share with you the possible reason why your van lease monthly payments are categorized under disallowable expenses.

 

Once you enter your vehicle expenses, QuickBooks Self-Employed categorize it using the Simplified Expenses (with flat rates) method. 

 

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.

 

It could be that the category you've used when entering this transaction isn't claimable as a business expense. This is why it falls under disallowable expenses.

 

Since you want to make the van lease monthly payments an allowable expense, you'll have to select the right category for it. 

 

I'd suggest reaching out to your accountant. They can guide you on what SA103F deduction category you'll need to use to categorize it as allowable expenses for self-employment.

 

For more details, you can check out this helpful article: About SA103F Categories

 

Should you have any follow-up questions or concerns, don't hesitate to post again here in the Community or leave a comment on this thread. Take care and have a good one.