Leeway with 'wholly and exclusively for business use' regarding furniture?

[Paralytic]

Interesting. I know for a fact that a near neighbour charged his new "garden office" to his business. Something Hector would be looking out for now, one might imagine.

You mean his business paid for his garden office? So long as his accountant is happy with it (they shouldn't be, but some might just let it go), its unlikely he'll ever be found out, unless he's audited by HMRC. But if you want to stir things up, ask him what his business is going to do with the garden office if he sells his house.

[Fred Bloggs]

For the most part they already do - for instance, an employer can pay for an employee to kit out their room as a home office and for the most part it would be tax deductible and not incur a BIK as the rules already cover most things - computers, office equipment and furniture etc. Even a separate broadband line in the employer's name can be installed tax-free if the employer is willing.

Whilst I'm sure business is booming for garden office building companies right now, I don't see the government being in a rush to make the installation of these or similar things tax deductible.

Interesting. I know for a fact that a near neighbour charged his new "garden office" to his business. Something Hector would be looking out for now, one might imagine.

[TheCyclingProgrammer]

It might be interesting to see how tax rules change as Covid and modern internet blur the lines between office/home for the masses. Though you'd probably expect that to take some time if it happens.

For the most part they already do - for instance, an employer can pay for an employee to kit out their room as a home office and for the most part it would be tax deductible and not incur a BIK as the rules already cover most things - computers, office equipment and furniture etc. Even a separate broadband line in the employer's name can be installed tax-free if the employer is willing.

Whilst I'm sure business is booming for garden office building companies right now, I don't see the government being in a rush to make the installation of these or similar things tax deductible.

[eek]

It might be interesting to see how tax rules change as Covid and modern internet blur the lines between office/home for the masses. Though you'd probably expect that to take some time if it happens.

Why? There has always been a set of workers (field agents / engineers) whose main base was from home...

[d000hg]

It might be interesting to see how tax rules change as Covid and modern internet blur the lines between office/home for the masses. Though you'd probably expect that to take some time if it happens.

[eek]

Just ordered a face mask branded with my company name and logo to wear to a job expo next week; it's coming out of my company funds so I guess I'll not be able to wear it unless on company business

Health and Safety equipment (which a mask would be) are fully tax deductible.

[David71]

Nope I think you would get away with claiming the tax on branded polo shirts see

How To Claim Clothing As A Business Expense | One accounting

I know it's a deductible cost for the conferences I used to help organise..

You would also look like a junior employee while wearing it so I wouldn't recommend it.

Just ordered a face mask branded with my company name and logo to wear to a job expo next week; it's coming out of my company funds so I guess I'll not be able to wear it unless on company business

[ladymuck]

This might be useful if you're considering something at the end of the garden

https://forums.contractoruk.com/acco...n-offices.html

[looonytunes]

Do a search. This has been discussed before. Buildings are explicitly excluded from the “assets provided at an employees home as long as there’s no significant personal use” rule. Therefore you’d be taxed personally on the benefit in kind AND the company wouldn’t save corporation tax either as you cannot claim capital allowances on buildings.

The only legitimate saving putting the building cost through the business is the VAT but this wouldn’t outweigh the downsides.

Pay for the building personally and if it’s primarily used for business you can expense most of the costs of kitting it out with office furniture and equipment and you can still claim work from home costs.

Understood

Cheers

[TheCyclingProgrammer]

now that WFH more is more commn, and needing an office to work from which will only serve as a work space and nothing else, what the HRMC stance on either building at out building which is solely for an office / work purposes.

OR

Rather than something separate to the building its attached to your current premise but all intents and purposes it will act as the self contained / separate unit, the only difference being is the proximity to the house

Could you
A) only claim office expenditure to kit out either example
B) could you go a step further and claim, via repair and maintenance, the structural costs of either option?

Do a search. This has been discussed before. Buildings are explicitly excluded from the “assets provided at an employees home as long as there’s no significant personal use” rule. Therefore you’d be taxed personally on the benefit in kind AND the company wouldn’t save corporation tax either as you cannot claim capital allowances on buildings.

The only legitimate saving putting the building cost through the business is the VAT but this wouldn’t outweigh the downsides.

Pay for the building personally and if it’s primarily used for business you can expense most of the costs of kitting it out with office furniture and equipment and you can still claim work from home costs.