We discussed this at my current client a while back and one of the lady's was having an extension built on the house that included a downstairs office. She was adamant she could claim the entire cost of the extension through the company. The fact there was a bedroom above it meant nothing to her. We pointed out that would mean LTD owned part of the house, everything else mentioned above and the need for common sense etc and she wasn't having any of it. Accountant said yes so she did. The frustration of trying to talk to someone who is so bloody minded and cannot see the wood for the trees was unbelievable and that wasn't just me saying that.
- Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
- Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!
Home Office Rental Agreement
Collapse
X
-
-
Originally posted by bartman View PostThanks for the added information.
I'm now not sure whether the amount of rental should be based on something comparable using local serviced offices as a guideline (i.e. similar square footage, location, facilities) or alternatively based directly on a percentage of household bills.
Maybe I have misunderstood and have been thinking based on the former not the latter. From the above posts it sounds as if maybe the rental amount should be based on the latter (and should just not exceed commercial rates). The difference is quite a lot - and in fact if the latter, then yes it's probably not worthwhile.'CUK forum personality of 2011 - Winner - Yes really!!!!Comment
-
Originally posted by northernladuk View PostTaking a cautious approach to this I would find it difficult to justify comparing my office to a purpose built managed service office. I would have thought a comparable guide would be an old house that has been converted in to an office such as a flat above a shop or something which would be considerably different rates. As lovely as your office might be I don't see how it can be compared to a Regus type place in both setup and cost.Comment
-
Comment
-
Not here in Dublin it isn't, even Mickey D's are fuk'n dear! It's €2 for a cheapo double cheeseburger that's about £1.29 in UK. €5.70 for a pint of crappy Heineken!Comment
-
Originally posted by bartman View PostI'm now not sure whether the amount of rental should be based on something comparable using local serviced offices as a guideline (i.e. similar square footage, location, facilities) or alternatively based directly on a percentage of household bills.
Maybe I have misunderstood and have been thinking based on the former not the latter. From the above posts it sounds as if maybe the rental amount should be based on the latter (and should just not exceed commercial rates). The difference is quite a lot - and in fact if the latter, then yes it's probably not worthwhile.2012 CUK Reader Awards - '...Capital City Accountancy, all of whom were outside the top three yet still won compliments from CUK readers for their services' - well, its not an award, but we'll take it! - Best Accountant (for IT contractors) category
2011 CUK Reader Awards - Top 3 - Best Accountant (for IT contractors) category
|| Check us out at: http://www.linkedin.com/company/capi...ccountancy-ltdComment
-
Originally posted by Greg@CapitalCity View PostAn often forgotten element of this is the personal tax return. If you do decide to proceed with this, you effectively become a landlord to your company with income that must be declared on your personal tax return. Expenses incurred in providing your company with a home office can be offset against the income. To keep things simple, I would suggest charging your company based on actual cost - on your personal tax return the two net each other off giving rise to no increase in personal tax payable. There may of course be reasons for charging your company a commercial rate of rent, the merits of which should be discussed with your accountant.Comment
-
Originally posted by stek View PostIs it worth it if you are going to have to delicate rental income on it personally?
Not thinking of charging your limited like 10k a year or something!!?
If you own a big cheap property in the north, the % is quite low.
I used to expense £100pcm but changed it to £50 simply so it is more obviously inside any kind of calculations someone might want to do.Originally posted by MaryPoppinsI'd still not breastfeed a naziOriginally posted by vetranUrine is quite nourishingComment
- Home
- News & Features
- First Timers
- IR35 / S660 / BN66
- Employee Benefit Trusts
- Agency Workers Regulations
- MSC Legislation
- Limited Companies
- Dividends
- Umbrella Company
- VAT / Flat Rate VAT
- Job News & Guides
- Money News & Guides
- Guide to Contracts
- Successful Contracting
- Contracting Overseas
- Contractor Calculators
- MVL
- Contractor Expenses
Advertisers
Contractor Services
CUK News
- Streamline Your Retirement with iSIPP: A Solution for Contractor Pensions Sep 1 09:13
- Making the most of pension lump sums: overview for contractors Sep 1 08:36
- Umbrella company tribunal cases are opening up; are your wages subject to unlawful deductions, too? Aug 31 08:38
- Contractors, relabelling 'labour' as 'services' to appear 'fully contracted out' won't dupe IR35 inspectors Aug 31 08:30
- How often does HMRC check tax returns? Aug 30 08:27
- Work-life balance as an IT contractor: 5 top tips from a tech recruiter Aug 30 08:20
- Autumn Statement 2023 tipped to prioritise mental health, in a boost for UK workplaces Aug 29 08:33
- Final reminder for contractors to respond to the umbrella consultation (closing today) Aug 29 08:09
- Top 5 most in demand cyber security contract roles Aug 25 08:38
- Changes to the right to request flexible working are incoming, but how will contractors be affected? Aug 24 08:25
Comment