Company Expenses

[DaveP]

By word of mouth I have been told that I can charge my company rent to do company work in my own house, and by doing this I can reduce illiminate paying NI.

Does anybody have anymore detail info on this please.

[pmeswani]

By word of mouth I have been told that I can charge my company rent to do company work in my own house, and by doing doing this I can reduce illiminate paying NI.

Does anybody have anymore detail info on this please.

Dave

You would need to speak to your Accountant about this as I was told that I could not do this. However, I am able to claim an allowance of about £3 a week for using my home workspace environment. If you are working away from home in a rented accomodation, this may be claimable.... but again, you will need to speak to your accountant regarding this.

[PhilAtBFCA]

Working From Home

Hi DaveP

This article is really useful on Accounting Web

http://www.accountingweb.co.uk/cgi-bin/item.cgi?id=177635&d=1025&h=1019&f=1026&dateformat =%25o%20%25B%20%25Y

The £3 is no problem but if you want to claim more expenses see the article above to see if it fits your cirumstances.

The rent option is not a great one. You pay tax on the income you recive from the company, HMRC can challenge the rent amount, and you could end up with CGT when you sell the house, assuming you own it.

[stphnstevey]

As above, you are basically just transferring the tax to yourself personally.

The company claims the rent as an expense against CT, but you pay IT when you receive it.

Don't think it's anything to do with NI