Enter expenses which would be disallowed

in a tax computation as private. eg private

motor expenses, entertaining or private telephone.

If 90% of motor expenses are classed as business

then 10% would be disallowed. In a company

all the expenses are allowable, however a

benefit in kind charge would apply to a car.

This can be avoided by keeping the car

privately owned and charging mileage for

business use of the car.