01 / BUSINESS COSTS

Costs that may be allowable

These are common examples. A cost is allowable only if it is wholly and exclusively for your business, so check GOV.UK guidance on expenses if you are self-employed, or ask an accountant.

  • Translation software subscriptions used for work may be allowable
  • Dictionaries and reference materials for assignments may be allowable
  • Business insurance may be allowable
  • Website and advertising costs may be allowable
  • Business share of phone and internet costs may be allowable
  • Travel for business meetings may be allowable
  • Professional subscriptions related to the business may be allowable
  • Training related to your existing translation business may be allowable
MILEAGE AND THE TRADING ALLOWANCE

Mileage and the trading allowance

For eligible cars and goods vehicles, simplified mileage is 45p per mile for the first 10,000 business miles and 25p after that in 2025/26; from 6 April 2026 (2026/27) it is 55p for the first 10,000 business miles and 25p after. You cannot claim mileage and actual vehicle costs for the same vehicle. Check GOV.UK mileage guidance.

The £1,000 trading allowance may be available instead of deducting expenses; you cannot claim expenses for the same income if you use the allowance. Check GOV.UK trading allowance guidance for your circumstances.

COMMON MISTAKES

Common mistakes

  • Leaving translation-software subscriptions separate from project records.
  • Mixing personal reference-book purchases with materials used for assignments.
  • Combining private and business phone or internet use in one record.
  • Not retaining client meeting journeys separately from private travel.
TRADE RECORDS

Records worth keeping for this trade

  • Client project records, invoices and payment statements.
  • Translation-software invoices and reference-material receipts.
  • Records of professional subscriptions and business-related training.
  • Mileage log with date, destination, purpose and distance for business journeys.

Which records help a translator connect software costs to assignments? Keep software invoices with client project records and retain receipts for reference materials used in the translation business.

02 / RECORD KEEPING

Keep records as you go

Keep receipts, invoices and mileage details as you work, and record business and personal use separately where needed. Organised records make it easier to prepare your Self Assessment return.

Not tax advice. Not affiliated with, or endorsed by, HMRC.