Question

how to change disallowable expenses?

Forum|Forum|1 year ago
May 26, 2025
1 reply
11 views

My end of year summary has all my motor expenses as disallowable. How do I change this?

QuickBooks Self-Employed

D

Dandie_A

QuickBooks Team

You need to correctly categorize your expenses, Robbins. Here’s a step-by-step guide to help you through the process.

First, let’s clarify the difference between allowable and disallowable expenses.

Allowable expenses are costs that are essential and directly related to running your business. On other hand, disallowable expenses are costs that are not considered necessary or solely for business purposes.

To change a disallowed expense, follow these steps:

Navigate to Transactions.
Use the search bar or filter options to locate the specific motor expenses that have been marked as disallowable.
Change the category in the category column.
Click on Other Vehicle Expenses.
Select the Business option if the expense was incurred for business purposes. If it was for both business and personal use, choose Split. If the expense is not directly related to the business, select the Personal option.
Click the Save button to apply your changes.

For further guidance or to address specific concerns, consider reaching out to a tax professional or contacting QuickBooks Self-Employed support for assistance. This can help ensure that your financial records align with both legal requirements and your business needs.

Additionally, to assist you with self-assessment taxes in the future, I’ve added a useful guide for you: Self Assessment for Income Tax checklist for QuickBooks Self-Employed.

You can always visit us here if you have other questions.

I

ianrobbinsAuthor

Thanks but his is not what I mean.

When you do a report and select tax details, The first page shows a table with allowable and disallowable expenses. All my motor costs are in the disallowable column.

How do I move them to the allowable expenses please?

Thanks

G

GenmarieM

QuickBooks Team

In QuickBooks Self-Employed (QBSE), expenses are automatically categorized as allowable or disallowable based on your tax profile, ianrobbins.

Since you mentioned that the motor expenses should be classified as Allowable but are currently showing as Disallowable, I recommend reviewing your bank rules settings. These settings are designed to automate the categorization of transactions, which can greatly streamline your bookkeeping process. However, there are times when this automation may lead to unexpected or incorrect classifications.

To ensure accuracy, I suggest recategorizing your transactions by following the steps outlined by my colleague above. This will help you correctly move your disallowed transactions to allowable expenses, improving the accuracy of your tax summary and bookkeeping records.

If the issue persists after verifying your category, I recommend contacting our Live Support team. They are equipped with the necessary tools and expertise to securely access your account and offer customized solutions to address your concerns effectively.

Here's how to reach them:

Log in to your QBSE account.
Click the Help icon at the top.
Hit Contact us and provide a summary of your concern, then click Continue.
Choose a way to connect with our Live experts. Chat with us or Have us call you.

Check this article for more information about the different types of support we offer and their availability: Contact QuickBooks Self-Employed Support.

If you want to manage your self-assessment taxes on your own, check out this article: Self Assessment for Income Tax checklist for QuickBooks Self-Employed.

Feel free to come back here in the Community if you have further questions or concerns. We're always here to help.

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