Looking to purchase Private Health Insurance through your Limited Company? Find below the most frequently questions we get asked regarding processing this expense.
Can I expense the cost of my private health insurance in my limited company?
Yes, you can purchase health insurance through your limited company.
Is it tax efficient versus paying it myself?
The cost is tax neutral, i.e. you would not gain any advantage to purchasing the health insurance through your company.
The reason for this is because you would have to pay a Benefit in Kind relating to the value of the gain, and this would negate the tax saving.
Is it possible to get a better deal on my health insurance if it’s a corporate plan?
In some cases, it can be possible to get a better deal on corporate plans however you would need to know the plans available and how to access them.
My colleague has processed his Golf membership through his own limited company, can I do this?
It is not advisable for following reasons
(i) It is not an allowable business expense in your accounts, giving
rise to a Corporation tax charge of 12.5%
(ii) A BIK would be charged on the amount of fees, giving rise to
Income tax at your marginal rate of tax (up to 52%)
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