Rent as a business expense

[NCOTBAC]

Just out of interest, why is it an issue?

It's bad enough the bills and post that some ex tenants leave. I'm not up for dealing with something else. I don't know what trouble it could cause but it's in my contract so they don't do it. It's a risk I don't want.

[Matt88]

Hello all,

Newbie here and to the world of contracting.

I started back in March this year. I have registered my personal residence as my business address, although I work onsite for the contracting role.

Am I able to claim my rent (which is both my personal and business residence) as a business expense? I could change my work patterns slightly as there is an option to work from home on occasions (which is my business address in this case), or will HMRC say this is illegal / not a business expense?

Also, can I claim back personal expense (from my limited company) for the rent that I have paid so far since March?

Many thanks in advance for any advice / help, and apologies if this has been posted before.

Of course not lol. If it was that easy to trick the taxman everyone would do it. Unfortunately, your idea is more likely to lead to an audit and a big bill.

I work from home, because the company has no office in the UK. And I am allowed to claim 1/3 of my rent as a business expense. Literally because I am using it as my sole office, for 8 hours a day.

But this is very different circumstances to you

[chopper]

I work from home, because the company has no office in the UK. And I am allowed to claim 1/3 of my rent as a business expense. Literally because I am using it as my sole office, for 8 hours a day.

Who has allowed you to do this?

40 hours a week isn't 1/3 of a week. 'Wholly and Exclusively' is the test for allowable expenses, so rent on a private residence would not normally be allowable.

[northernladuk]

Who has allowed you to do this?

40 hours a week isn't 1/3 of a week. 'Wholly and Exclusively' is the test for allowable expenses, so rent on a private residence would not normally be allowable.

Have a look at his posting history and some of the other advice he's given. Then you'll know whether to bother with anything said in the post you are questioning.