Repairs to home office through Ltd Co not allowed

[MrBen]

Hi, as everyone else I work from home where I have a substantial home office setup over the past 10 years or so.

The office is setup for me to develop and work on client solutions (sometimes on an outside IR35 and sometimes on an inside IR35 basis). The office is upstairs. Unfortunately, we recently had bad weather and rain water came into the office damaging the floor, walls cracked, ceiling cracked, skirting boards all warped, walls discoloured, paint peeling etc fortunately nowhere near the power sockets. A local roofing company identified the problem in the roof above the office and sent a quote for repair.

I just thought this the Ltd company could pay for the repairs as it only affects the office but my accountant is now saying I have to cover the full costs of the repair personally. Has anyone else been in a similar situation? Is that right? Any advice would be appreciated. Thank you.

[Paralytic]

Your accountant is correct. Do you have home insurance?

If you want to risk is and charge it all to your company, and your accountant was willing to sign off your books in that respect, I doubt you'd ever be found out, but I can't see anyone here (with any credibility) recommending that.

[eek]

It's in your own home - so you would personally derive a benefit from the repairs.

Hence it's not claimable without a whole world of pain and consequences you really don't want to go near.

[wattaj]

Your accountant is correct.

The home belongs to you; not the company.

It would be different if the company had sole use of this space and paid rent on that space, but you do not say if this is the case. Even if it was, and you did, there would be other tax complexities that would cause problems.

Nice try.

[northernladuk]

Why do perfectly intelligent, reasonable people lose their tulip when there is the chance to save a few quid? Common sense just seems to go out of the window. They get fixated on the outcome they want regardless of how stupid it is and then come on here to ask about it without a single modicum of thought.

[Paralytic]

Why do perfectly intelligent, reasonable people lose their tulip when there is the chance to save a few quid? Common sense just seems to go out of the window. They get fixated on the outcome they want regardless of how stupid it is and then come on here to ask about it without a single modicum of thought after being told by professionals that its not possible but hoping some random person on the internet will tell them otherwise.

FTFY

[WTFH]

Your accountant was correct about the car lease as well. And about the 24 month rule.

[northernladuk]

Your accountant is correct.

The home belongs to you; not the company.

It would be different if the company had sole use of this space and paid rent on that space, but you do not say if this is the case. Even if it was, and you did, there would be other tax complexities that would cause problems.

Nice try.

But it wouldn't. The landlord would still be liable for structural repairs and damage such as this.

[northernladuk]

Your accountant was correct about the car lease as well. And about the 24 month rule.

Yeah. FOPSCONT

[eek]

But it wouldn't. The landlord would still be liable for structural repairs and damage such as this.

Ever seem a commercial lease? - the landlord is very rarely responsible for anything.