I am a writer in a specialist field and need to travel in the UK and overseas a lot to do research. I am a director of my owner-managed company. I claim travelling and hotel etc. costs via the company accounts. In the past, I was a writer for a fixed contract but that contract now expired and I am looking for further work and in fact have been doing some lecturing work. But I continue to incur these costs which are relatively at the same level as before. Would these be allowable for tax? I need to do this travel to do the research in my field of work but as my related work now is not under contract I wondered whether they are allowable in total or might be viewed by HMRC as a hobby?

Arthur Weller replies: 
As long as the expense is incurred ‘wholly and exclusively’ for the sake of the business, it will always be allowable. The type of contract you have is not so relevant. HMRC restrict loss relief when someone conducts a business that is a ‘hobby’, but that is not what you are referring to.