Reply to: Claiming for useage of home

[Spacecadet]

If i was working full time from home then claiming something would be worthwhile, however given that most of my contract work requires me to be on site and the only home working I do is the running of my own business, its not something i'm going to be claiming for soon.

[xoggoth]

£2 is normal statutory but according to a newsletter I got from an accountancy company (I have just lent it to someone unfortunately) you can claim more if youi have a formal rental agreement.Try looking on web.

[BoredBloke]

I don't claim anything as it is not worth the hassle - I was just pointing out that in this day and age, when remote working is easy to do, then there should be the facility to charge out a reasonable amount for this. We bought a 4 bedroom house for that very reason.

[bobsmithldn]

£2/300 tops.

[The Lone Gunman]

The advice I was given by my accountant was that you took the number of rooms in the house, took off the kitchen and bathroom to leave you with say 7 rooms. Then the amount you could claim is 1/7 of the monthly rent/mortgage and utilities.

Shouldnt that be bathroomS (5 of). Then we get to the remaining 7 not including the 5 in the cellar.

[ratewhore]

The advice I was given by my accountant was that you took the number of rooms in the house, took off the kitchen and bathroom to leave you with say 7 rooms. Then the amount you could claim is 1/7 of the monthly rent/mortgage and utilities.

[ASB]

FWIW (buffer all probably) I always used to claim 25% of the fuel bills - based on about 25% of the floor space - in this case approx 1500 sq ft. Also used to claim the cleaner etc.

But, as Alan says it is not necessarily easy to convince the inspector. The IR did raise it during an enquiry however accountant was able to agree it with them after production of current and previous fuel bills.

The whole thing is a bit of a red flag to them as well given the note that needs to be added to the related transactions in the accounts.

[shaftedcontractor]

On a somewhat related note... If I can justify the increase in electricity bills (as I use electric heating in my home office) by producing bills before I started working from home and comparing them to current bills, can I claim back this increase?

If so, given that my year end was back in May, can I claim back for last winter's bills too or has the horse bolted on those ones?

[VinnyB]

The IR have to start realising that in todays world it is possible for people to work from home and so should allow for this.

From what I can gather the IR need do nothing of the sort, they appear to do what ever they so choose - whether logical or not. But what do I know?

[Nixon Williams]

This is typical of the IR. I work from home 1 or 2 days per week. I spend a lot of time in my 'office'. It has a huge office desk in it and all my kit and books. Imagine trying to rent office spece for 1 day per week and getting it for 104 per year.

The IR have to start realising that in todays world it is possible for people to work from home and so should allow for this.

My Office is not used for anything other than using the computers - it doesn't have a bed in it as there is not enough space.

You can make a claim for more, its just that the £104pa is available without any need to justify it with receipts etc.

If you do incur higher amounts you need to calculate it as part of the home costs etc.

Alan

[BoredBloke]

This is typical of the IR. I work from home 1 or 2 days per week. I spend a lot of time in my 'office'. It has a huge office desk in it and all my kit and books. Imagine trying to rent office spece for 1 day per week and getting it for 104 per year.

The IR have to start realising that in todays world it is possible for people to work from home and so should allow for this.

My Office is not used for anything other than using the computers - it doesn't have a bed in it as there is not enough space.

[Nixon Williams]

Dear NW

But £104pa is still a round figure, albeit a more modest one.

Yes it is but it is what the Revenue will allow without question. This rate was recently introduced to "reflect" the increased practice of working from home.


Alan

[VinnyB]

Dear NW

But £104pa is still a round figure, albeit a more modest one.

[Nixon Williams]

My accountant has advised that I can claim £60/month, and I do. It does seem odd when they know that most of my work takes place at client premises.

The revenue will rarely accept such round sum each month, so if they take a look at you I am sure they will pick on this!

[VinnyB]

My accountant has advised that I can claim £60/month, and I do. It does seem odd when they know that most of my work takes place at client premises.