Converting flat to office?

[Mr Pancamo]

Hi

At the moment, I reside in a studio flat in central london close to work. This also doubles up as an office for me (it has a fold down bed, seperate kitchen/bathroom area etc).

I'm thinking of using this wholly as a business premises and living with the girlfriend.

I'll speak to my accountant about this, but does anyone have any experience of this? Should I convert it to a full office, does this mean the rent and expenses can be paid from the company account?

Cheers!

[Sockpuppet]

Yes, it can be. However if this is a "I really am using it as an office it just has lots of my clothes here and a bed I seem to use a lot but I'm not a tax dodger" then no and HMRC will hurt you.

Also it may affect insurance and I can guarantee that your tennancy agreement will forbid you to run a company from your flat or conduct business there.

So the answer is probably No.

[Kyajae]

Yes, it can be. However if this is a "I really am using it as an office it just has lots of my clothes here and a bed I seem to use a lot but I'm not a tax dodger" then no and HMRC will hurt you.

Also it may affect insurance and I can guarantee that your tennancy agreement will forbid you to run a company from your flat or conduct business there.

So the answer is probably No.

Even if your tenancy agreement permits you running a business from your flat, you will then have to contend with local council business rates.

[ASB]

Planning permission too may be required depending upon the exact use.