This will include expenses for any sort of legal advice sought such as solicitors' charges or payments to companies like SeedLegals for their services. Be careful to check whether the legal costs relate to any property purchase or share transactions as these costs will have to be capitalised.

Fees incurred by obtaining loans, patents and registering trademarks are deductible, but many others are not.

The cost of a registered office address service (if you're not on the Unlimited Annual plan with Ember).

Professional fees for advice on the sale/purchase/restructure of property or shares or intangible assets should be recorded in the Capitalised Costs category.

Legal fees are one of the more complicated business expenses, as some are deductible and some are not.

If a legal expense relates to a capital asset then no tax relief is available (until the asset is sold) or the related expenditure is capitalised as part of an intangible asset and relief on the amortisation charged to the accounts will arise.

Additionally if the advice is for a director rather than the company tax and VAT relief may not be permitted.

Make sure you are happy all of these costs are wholly and exclusively for the purposes of your trade before you submit your tax return.

The legal costs involved with the buying of property or equipment are included in the asset’s purchase price and therefore, treated as capital allowances.