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Ian101

  • Posts: 7887
Allowable use of home for tax purposes.
« on: September 16, 2012, 04:49:58 pm »
From what I have read you can claim a portion of your council tax bill, gas and electric.

Reading between the lines of the inland revenue so long as the claim is small they wont ask how you got to your calculations ... their examples show about £200 to £300 ish.

Also use of car to go to bank at 45p a mile looks as if its allowable so our bank is a 10 mile round trip which the missus makes 3 days a week so thats another £624 allowable as a business expense

Water use - so long as you can prove how much your usung then again this can be claimed for. My bill went from £25 a month which it had been for ages to £75 a month so another £600 allowable for business expense.

Oh apparently your also allowed 2 meals out a year ( 1 at Christmas) so long as all staff are invited.

Maybe last one pushing it a bit.

http://www.hmrc.gov.uk/manuals/bimmanual/bim47815.htm

http://www.hmrc.gov.uk/manuals/bimmanual/BIM47825.htm

http://www.hmrc.gov.uk/manuals/bimmanual/BIM47800.htm



Can you think of anymore ?

Dave Garrett

  • Posts: 267
Re: Allowable use of home for tax purposes.
« Reply #1 on: September 16, 2012, 05:06:16 pm »
clothing workwear and washing said items

Ian101

  • Posts: 7887
Re: Allowable use of home for tax purposes.
« Reply #2 on: September 16, 2012, 05:08:24 pm »
clothing workwear and washing said items

forgotten about that one !! ... cheers  :D

Dave Garrett

  • Posts: 267
Re: Allowable use of home for tax purposes.
« Reply #3 on: September 16, 2012, 05:12:15 pm »
broadband ( website ) mobile / home phone

Steve Sed

Re: Allowable use of home for tax purposes.
« Reply #4 on: September 16, 2012, 05:16:51 pm »
What do you do about your van Ian? Do you claim a mileage allowance? Last year as I had a cheap van I used mileage allowance, but I bought an 05 Boxer in last tax year and haven't done the sums yet on it.

*Hector*

  • Posts: 9268
Re: Allowable use of home for tax purposes.
« Reply #5 on: September 16, 2012, 05:43:10 pm »
the rule for claiming a percentage of house bills is:....

If you have 1 room dedicated as an office...
you cannot count kitchen and bathrooms, but you then add up all the other rooms in the house for the number you divide you bills by...

EG; a 2 bedroom house with a through lounge diner
1 bedroom is office you then have 1 bedroom and a lounge = 2 rooms

so you divide all your household bills by 2

that includes water electric gas council tax broadband telephone etc... however you can be liable for capital gains tax if you do this......

If you rent however  ;D ;D ;D

As for mileage the first 10,000 per year can be claimed at 45p per mile... however you cannot claim mot oil service etc as all included in the 45p per mile...

hope this helps.

this was all from the taxman by the way and not made up....
Everyday this forum slips further from God.  :'(

stuart mc

  • Posts: 7775
Re: Allowable use of home for tax purposes.
« Reply #6 on: September 16, 2012, 05:49:29 pm »
yes what hector said, I have 5 usable rooms so 1/5 can be claimed

that was from a business advisor from the business gateway and a tax man

Ian101

  • Posts: 7887
Re: Allowable use of home for tax purposes.
« Reply #7 on: September 16, 2012, 05:50:58 pm »
What do you do about your van Ian? Do you claim a mileage allowance? Last year as I had a cheap van I used mileage allowance, but I bought an 05 Boxer in last tax year and haven't done the sums yet on it.

last year was the last year you could write it off in 1 go which I did along with my system (this is what mt accountant told me)

Now you can claim a writing down allowance .. not defo how it works but prob over its life expectancy so maybe 4 years (search on google u prob find answer)

combat1

  • Posts: 893
Re: Allowable use of home for tax purposes.
« Reply #8 on: September 16, 2012, 06:03:14 pm »
Did a tax course when i started. use of room as office is ok as long as theres not a bed in the room when it becomes a dual purpose room and has to be split. they told us we could claim around a hundred and no one would question.

Steve Sed

Re: Allowable use of home for tax purposes.
« Reply #9 on: September 16, 2012, 06:18:17 pm »
The room I believe has to be wholly used for work purposes. I knew about the mileage allowance but wondered whether there might be benefit in doing it differently this year (fye 2012). I need to research.