I am self employed photographer. Part of my work involves photographing models for my published books. I usually pay the model for his/her time, I also often have to rent a hotel or location to photograph them in and often have to travel abroad to shoot.I wanted to find out what is allowable as expenses. I assume the full model fee? But apart from that, what about lunch during a photo shoot for me and/or the model/s. What about hotel cost, airfare, etc.
System of Law: England-and-Wales
Hi.Any expense incurred in connection with your business is deductible. You just have to consider when you are buying something whether there is a business element to the purchase.Photographic material costs are deductible. The cost of cameras is deductible. Repair costs to equipment is deductible. Fees and expenses paid to the models are deductible. Location fees and hotel stay charges are deductible. Publishing fees and expenses incurred in connection with your books are deductible (agents etc). Travel costs to locations will be deductible. As far as food is concerned, if you are on location you are not spending money on food at home and you eat to live, you don't eat for business purposes unless you are a food critic. The tax office will allow a reasonable amount for food so a claim of £50 per night will not be allowed.Let me know if you have any further queries.
what about food for models? i have in the past booked models who are happy to shoot as long as i cover expenses for the day/night. so this would be hotel, train, food for example. it works out cheaper sometimes than paying a model fee. but if i cannot claim those back then should i get the model to sign a release with fee amount equal to what i have spent on their expenses?
If the models include the expenses in their invoice, then you can claim them. Their expenses don't have to be specifically identified by you in your records. If they model for free, I'd still show what you spend for their travel, hotel and food as ancillary expenses.TonyTax41092.6521083333
Can a model release form serve as an invoice? or do model need to give me a specific invoice? I usually have a line on the release form like: "I nearby confirm receipt of all monies due to me in respect of this engagement" with the fee listed at the top of the page. I can then just add some extra lines about expenses to the release when applicable?
That would be fine from your point of view.
Inc Tax, CGT, Corp Tax, IHT, VAT.