Owners often ask the wrong first question. It is not only whether something feels like a business expense. It is whether the VAT on that cost is actually recoverable and supported.
Explanation
Input VAT recovery depends on business use, supplier evidence, and the actual VAT treatment on the purchase. Some costs are straightforward, while mixed-use or restricted items need more care.
Real example
A founder buys software subscriptions, travel, and a laptop in the same month. The software invoice is clean and recoverable. The laptop may be too, but only if the evidence and business use are clear.
What to do in practice
Keep supplier invoices, review unclear items before the return draft, and avoid treating every cost as reclaimable just because it helped the business in some way.
Keep moving
Read more in the article library, review pricing, or start managing this in DII Accounts.