In a business accounting context, expense refers to any costs you incur when you go about doing your work to provide a product or service. This will then be offset against your taxable income. Now, before you go about claiming transport costs to get to work, a lunch you bought for a client or a brand new laptop, consult your taxation authorities’ rules to ensure it would be eligible.
For example…
As a startup landscaping business, Joe knew he could claim things like gardening equipment as an eligible expense for his business. What he is less sure about was workshops he attended on how to create a Balinese-inspired garden, a camera he bought for capturing images of his work and CAD software that he used for drawing up landscape designs. He approached his company accountant to verify and submit his claims as expenses. This was a great move because you wouldn’t want a tax office audit on your hands on top everything else you have going on, would you?
