so my wifi router finally decided to drop dead and as I am working from home for forseeable future until at least january 2022 do people think getting a reliable wifi access point for my house would be something I can claim as a expense even though it will deffo be used for personal use also?
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Legitimate Expense or not?
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Yes.
To qualify that..... Replacing your home broadband router that has failed would not be a business expense.
Buying a router, to extend the home broadband line to your home office is a valid business expense.
Both describe what you are doing. One is claimable the other isn't. It's about perspective. I replaced the provider supplied router with a business router, and mesh WiFi as the provider supplied onw, whilst valid for home use, didn't allow the features I need for work.See You Next TuesdayComment
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This is for an existing broadband connection that is not paid for by the company so I cannot see how it would meet the wholly and exclusively test.Comment
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Originally posted by jamesbrown View PostThis is for an existing broadband connection that is not paid for by the company so I cannot see how it would meet the wholly and exclusively test.
Personal money pays for the broadband line, that's a given already. The IT devices connected to it are different.
Perhaps my interpretation is a bit liberal, but I needed faster, more reliable WiFi in my office so the business paid for that.See You Next TuesdayComment
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Yes, I see it as an extension of the attached and you may need to consider a BIK
https://www.accountancyoffice.co.uk/...band-expenses/
Can you reclaim the cost of home broadband?
Yes you can – but there are restrictions as you would expect. The EIM01475 guidance from HMRC’s website is useful here.
Limited Companies
Company contracts and pays for the broadband service
If a broadband contract is undertaken in the name of a limited company and the service is provided at the home of a Director or employee but paid for directly by the company, the monthly broadband cost is a tax deductible expense for the company for corporation tax purposes. If it is not possible to breakdown work and private usage, HMRC accept that providing any private use is insignificant there is no taxable benefit for the employee.
If the broadband connection is used for a mixture of business and personal use then a benefit in kind will apply with the full amount paid by the company becoming taxable on the individual.Comment
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Originally posted by Lance View Post
why is a router different to a computer? It's not really is it? It doesn't have to meet that test IMO. It's not like a desk, or a chair, or a car.
Personal money pays for the broadband line, that's a given already. The IT devices connected to it are different.
Perhaps my interpretation is a bit liberal, but I needed faster, more reliable WiFi in my office so the business paid for that.
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Originally posted by ladymuck View PostYes, I see it as an extension of the attached and you may need to consider a BIK
https://www.accountancyoffice.co.uk/...band-expenses/
I could equally keep the provided router for home use and use the company router for the office. Where does that fit?
This is a very grey area to my mind.
I pay personally for the service to the xDSL socket and from there it could be either. If I am asked about the router by HMRC it is "for the purposes of extending my personal home broadband to the office". Which is true, although with a tiny spin. *Perspective*See You Next TuesdayComment
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Of the three accountants I had not one of them advised claiming broadband. Personal use far exceeds business and every home needs one. I'm sure other accountants on here have also said no to broadband in most cases.
Just the fact that he is replacing his personally bought home one says it for me. Replacing a home one for a work one when nothing has changed?
It's a no from me as well.'CUK forum personality of 2011 - Winner - Yes really!!!!Comment
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