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Non-deductible expenses

GB
2023-04-26

Question

Some retailers do not allow me to do orders as a private person. This means I can only do purchases by providing my vAT number. Foreign traders do not add vAT. How do I enter this correctly if it is an expense that is not related to my activity as a self-employed person? The professional percentage is therefore zero and the vAT deduction is also zero. I assume that I will still have to pay the vAT on my vAT declaration. Is this possible or is it not allowed?

If you are subject to VAT, I think you can solve it this way.

Because if the VAT recovery percentage is 0%, an amount will indeed be added (for foreign purchases) via your vAT declaration. That way, you still pay VAT on an expense that was private.

The only slight problem you encounter in Dexxter is that you cannot set the professional use percentage to 0.00%. They do not allow that. So you have to set it to 0.01%, which is fine.

Okay, the impact on your accounts is negligible and you've solved the problem. So I think that's a good way to go.

Are there any other people who do it this way?

So, it is permitted from an accounting point of view. If the developers are reading this: is it possible to allow a 0% professional percentage in the application? If necessary, with a pop-up warning.

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You really should try it out for yourself. Even if you don’t have a company number yet, you can already go ahead.

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