# Can I claim Telephone and Mobile as a business expense in Isle of Man?

**Partially claimable.** Partially: a business-only mobile or landline is fully deductible. If a phone has both personal and business use, only the business proportion is deductible. Many Isle of Man companies provide directors with a company mobile: the business cost is deductible but the personal use element may create a benefit in kind.

Typical amount: £500 to £2,400 per year per employee. Roaming and international calls are the lines that vary most.

## What Income Tax Division (Treasury) says

A phone used wholly for business is a fully deductible business expense. A dual-use phone requires apportionment between business and private. Employer-provided mobile phones: the ITIP benefit-in-kind rules for Isle of Man broadly mirror UK rules: a single employer-provided mobile phone is generally treated as a tax-free benefit in kind. The business cost remains deductible.

## When you can claim

- Monthly contract costs for a company mobile used solely for business
- Business proportion of a dual-use personal phone contract
- Office landline and broadband bundle
- International roaming charges incurred on genuine business travel
- Video conferencing tools (Zoom, Teams) billed monthly

## When you cannot claim

- Personal calls on a company phone (the cost is still deductible for the company but is a taxable benefit for the employee/director in proportion to personal use)
- Full personal mobile contract costs where there is only incidental business use

## Good to know

**Pro tip:** Providing a company mobile to each director is a clean, simple deductible cost. Keep the plan separate from personal contracts. Review international call charges after any trip to the UK mainland: these are often significant for Manx businesses. Note on file who uses each line, so any private use can be identified for the payroll.

**Important:** The £600 benefit in kind exemption for 2026/27 (excluding car benefit) can cover small employee benefits, but check how a company phone with private use is treated on the payroll. Keep the plan invoice in the company name and note which employee uses which line.

Source: https://www.gov.im/categories/tax-vat-and-your-money/income-tax-and-national-insurance/businesses-and-employers/

## Related expenses

- [Home Office](https://accounts-os.com/im/expenses/home-office-im)
- [Technology and Software](https://accounts-os.com/im/expenses/technology-software-im)
- [Professional Subscriptions and Memberships](https://accounts-os.com/im/expenses/professional-subscriptions-im)