This guide spells out every cost your SL may, and may not, claim, plus the documents you need to back each one up. Read it to make sure you report the expenses your company is allowed to claim.
For SLs, expenses can be deducted as long as they are necessary for the business and you have the paperwork to back them up. If there is an audit, you will need to show that the expense served the company. Without that, the deduction can be rejected.
Each category of expenses requires a different level of proof, from a simple bank receipt to a full invoice with several identifiers.
Stronger vs. weaker proof is simple. A stronger document always works in place of a weaker one. If a category asks for a receipt with the company name, a full invoice with the name, NIF, and address also works. The other way around does not.
Recovering VAT works differently. You can reclaim input VAT only with a full invoice that includes the company name, NIF, and address.
| Category | Required document | Minimum proof accepted | Best proof for audits | Limits and special rules |
|---|---|---|---|---|
| General insurance | Receipt + company name | Policy under the company name | Receipt with company name, NIF and address | Deductible if related to the business |
| Professional liability insurance | Receipt + company name | Policy under the company name | Receipt with company name, NIF and address | - |
| Health insurance | Receipt + company name | Policy is needed for a company purpose, such as a loan | Receipt with company name, NIF and address | - |
| Mortgage interest | Mortgage payment statement | Mortgage under your name | - | Deductible only if you own the home |
| Rent | Receipt | Contract under your name | Receipt with company name, NIF and address | 10 m² home-office share applied by default. Larger workspace requires adjustment |
| Utilities | Receipt | Contract under the company’s name | Receipt with company name, NIF and address | 10 m² home-office share applied by default |
| Transportation | Receipt | Proof of business need, such as an email or calendar invite | Signed meeting form + receipt with company name, NIF and address | - |
| Outside food | Receipt, paid by card | Proof of business need, such as an email or calendar invite | Signed meeting form + receipt with company name, NIF and address | - |
| Owned car | Receipt | Car registered under the company. Keep logs of the trips | - | - |
| Office gear | Receipt | Receipt with the name and NIF or address | Receipt with the name, NIF and address | - |
| Office | Receipt | Receipt with the name and NIF or address | Receipt with the name, NIF and address | - |
| Service providers | Receipt | Receipt with the name and NIF or address | Receipt with the name, NIF and address | - |
| Courses | Receipt | Receipt with the name and NIF or address | Receipt with the name, NIF and address | - |
| Travel | Receipt | Proof of business need, such as an email or calendar invite | Signed meeting form + receipt with company name, NIF and address | - |
| Software | Receipt | Receipt with the name and NIF or address | Receipt with the name, NIF and address | - |
| Financial charges | Bank receipt | - | - | - |
| Social security | Bank receipt | - | - | - |
Office costs are deductible with a receipt.
Minimum proof accepted: a receipt with the company name and NIF or address.
Strongest proof: a receipt with the company name, NIF, and address.
Rent is deductible with a receipt if the contract is under your name.
Mortgage interest is deductible with a mortgage payment statement, if you own the home.
For rent, a 10 m² home-office share is applied by default. If the workspace is larger, it needs to be adjusted.
Utilities are deductible with a receipt.
Minimum proof accepted: the contract must be under the company's name.
Strongest proof: a receipt with the company name, NIF, and address.
A 10 m² home-office share is applied by default.
Office gear is deductible with a receipt.
Minimum proof accepted: a receipt with the company name and NIF or address.
Strongest proof: a receipt with the company name, NIF, and address.
Software is deductible with a receipt.
Minimum proof accepted: a receipt with the company name and NIF or address.
Strongest proof: a receipt with the company name, NIF, and address.
Service providers are deductible with a receipt.
Minimum proof accepted: a receipt with the company name and NIF or address.
Strongest proof: a receipt with the company name, NIF, and address.
Courses are deductible with a receipt.
Minimum proof accepted: a receipt with the company name and NIF or address.
Strongest proof: a receipt with the company name, NIF, and address.
Travel and transportation are deductible with a receipt, plus proof that the expense was for the business.
Minimum proof accepted: an email or calendar invite showing the business need.
Strongest proof: a signed meeting form plus a receipt with the company name, NIF, and address.
An owned car is deductible with a receipt when the car is registered under the company.
You should also keep logs of the trips. That means a record showing where the trip was for and why it was related to the business.
Outside food is deductible with a receipt, as long as it was paid by card and there is proof of the business need.
Minimum proof accepted: an email or calendar invite showing why the meal was business-related.
Strongest proof: a signed meeting form plus a receipt with the company name, NIF, and address.
General insurance is deductible if it is related to the business.
Required document: receipt with the company name.
Minimum proof accepted: the policy under the company name.
Strongest proof: a receipt with the company name, NIF, and address.
Professional liability insurance follows the same proof logic.
Health insurance also requires a receipt with the company name, and the policy needs to exist for a company purpose, such as a loan.
Financial charges are deductible with a bank receipt.
Social security is deductible with a bank receipt.
The rule is simple. If the expense is necessary for the business and you can prove it with the right paperwork, your SL can usually deduct it. The part that matters is not just the cost itself. It is the quality of the proof you keep behind it.
