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Reply to: Bad Accountant?

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Previously on "Bad Accountant?"

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  • Darren@UptonAccountants
    replied
    Acccountants

    Originally posted by foritisme
    Is this why I can't access his website ???
    Not sure why the website went down yesterday, will have a word with the web people.....as coincidence would have it wasn't in the office yesterday, but not due to interviews for a certain position at St James!

    Leave a comment:


  • ASB
    replied
    As for family, if you rent a flat why aren't you allowed to stay there with your wife?
    Because it would fail the exclusivity test perhaps. Be a bummer of a hector trying that on though.

    FWIW (and yes it has got through an inspection) I paid rent from company, council tax etc (and latterly mortgage interest when I personally bought an additional property which I used during the week). Nominated 10% as a BIK (sometime the family came up w/e if I didn't go home). Perfectly happy taxman.

    Leave a comment:


  • Bradley
    replied
    Not so

    Originally posted by freshblue
    Needs to meet HMRC dual purpose rules. These states that the property concerned must just be let for the working week and NOT for non working days (i.e. weekends). If the rental receipt clearly states it is just for the days you have worked then it will be allowable.
    Note: Accommodation costs cannot be claimed where other family members are present
    The Revenue Manuals state that you can claim for weekends even if you aren't working.

    As for family, if you rent a flat why aren't you allowed to stay there with your wife? As managing director of your own company you could of course take a suite of rooms at the Ritz and the taxman wouldn't and couldn't object.

    Leave a comment:


  • foritisme
    replied
    Originally posted by MrsGoof
    he might be busy applying for a new job. Apparently there is a mangment position that has just become available in Newcastle.

    Is this why I can't access his website ???

    Leave a comment:


  • freshblue
    replied
    Needs to meet HMRC dual purpose rules. These states that the property concerned must just be let for the working week and NOT for non working days (i.e. weekends). If the rental receipt clearly states it is just for the days you have worked then it will be allowable.
    Note: Accommodation costs cannot be claimed where other family members are present

    Leave a comment:


  • malvolio
    replied
    Originally posted by Mordac
    Do you get a receipt for the flatshare? I would have thought a receipt might attract Hector's attention, therefore if I had a spare room to rent I'd want it done on the QT, not going through company books.
    If you don't get a receipt I don't think you'll get away with claiming it back.
    I always go for B&B or hotels, for this reason.
    Finally, get yourself a proper contractor accountant.

    Cue Darren:

    So the idea is the OP can't claim a perfectltly legitimate business expense becasue the guy he's paying the rent to doesn't want to declare it on his annual return and pay tax on it. Which is evasion, pure and simple.

    Isn't life grand...

    Leave a comment:


  • Bradley
    replied
    Evidence

    Originally posted by Mordac
    Do you get a receipt for the flatshare? I would have thought a receipt might attract Hector's attention, therefore if I had a spare room to rent I'd want it done on the QT, not going through company books.
    If you don't get a receipt I don't think you'll get away with claiming it back.
    You don't always need a receipt. The Revenue will (and should) accept other forms of proof like cheque stubs

    Leave a comment:


  • MrsGoof
    replied
    Originally posted by Mordac
    Cue Darren
    he might be busy applying for a new job. Apparently there is a mangment position that has just become available in Newcastle.

    Leave a comment:


  • Mordac
    replied
    Do you get a receipt for the flatshare? I would have thought a receipt might attract Hector's attention, therefore if I had a spare room to rent I'd want it done on the QT, not going through company books.
    If you don't get a receipt I don't think you'll get away with claiming it back.
    I always go for B&B or hotels, for this reason.
    Finally, get yourself a proper contractor accountant.

    Cue Darren:

    Leave a comment:


  • malvolio
    replied
    What can I claim legitimately
    All expenses legitimately incurred directly in connection with your work - that includes fares, food and accomodation. At worst, a proportion of an expense that you could use for non-work purposes (such as Saturday and Sunday rent) could be omitted from the claim, or declared as a BIK, but that is being a little picky.

    what is the worst that could happen
    You don't sack your accountant and get one that understand taxation...

    retrospectively
    If you have the receipts or other proof of payment, anything from within your current financial year without problems.

    Leave a comment:


  • startmakingsense
    started a topic Bad Accountant?

    Bad Accountant?

    I have been contracting since May 2005 and am about to start my 4th contract, 4th place of work. I have nearly always been working away from home and arranged a flatshare.

    My accountant says I can't claim any travelling expenses or accomodation. In fact I have claimed virtually zero expenses at all so far. He says I can't claim for the flatshare because it is available weekends. I can't claim mileage because it is my 'normal place of work'.

    I am about to start a contract in central london (I live in Cheshire) and I will be spending about £700 of my salary on living there. What can I claim legitimately, and, if it is a grey area, what is the worst that could happen retrospectively?

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