Limited company - rent as an expense

[northernladuk]

More than me. I'm still stuck on £8.5k.

TBH I'm glad to hear that the people who actually add real value to society and save the lives of our loved ones earn more than us.

[mudskipper]

Is he aware of the proposed change from April '17, where the engager will determine IR35 status, and deduct taxes at source?

[rutar]

Hi

There shouldn't be a problem assuming he still maintains his primary residence in Wales. There could be implications if he stays there on weekends/days off this is not wholly and exclusively business related.

1. Ensure the tenancy agreement is in the companies name and paid from the company bank account.
2. Ensure the tenancy agreeement is short term (most assured shorthold tenancies are - hence their name).
3. Tell him to appoint an accountant to advise on these queries.

Regards

Dom

Okay, so he rarely goes back to Wales due to a very unpredictable schedule (working many weekends), is there not a justification for pro-rataing the rent expense, so he works on average 4 days per week, can he not expense 4/7 of the total rent to the business?

Thanks

[simes]

Okay, so he rarely goes back to Wales due to a very unpredictable schedule (working many weekends), is there not a justification for pro-rataing the rent expense, so he works on average 4 days per week, can he not expense 4/7 of the total rent to the business?

Thanks

As above, if you're not looking to get investigated, then expense the lot and take it on the chin if ever there is an investigation.

But, just ensure he is Investigation insured.

Not sure there is much else to say here.

[Lance]

A friend is a doctor who normally lives in Wales, he has now moved to Essex (exclusively for work purposes) to locum at a hospital and now rents a private property whilst still paying a mortgage on his property in Wales. He has formed a limited company and the query is will he be able to claim rent as an expense? (the assumption is he is working outside IR35)

Given that doctors have been providing locum services since before there was an NHS aren't there some more appropriate forums to ask this question?

Like the BMA for example.

Or do you think the answer from a bunch of mostly IT contractors will provide the answer you want? (and none of whom are lawyers or accountants(well there are a few accountants lurking here)).