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MikeF
31st May 2007, 14:14
thought I would air this on the board before embarassing myself with the accountant.

what are the implications of setting up a home office in the form of a temporary log cabin structure in the back garden ?

could say, the supply and install cost of approx £4k be a tax deductible expense ?....and could the temporary log cabin be written off over say 5 years ?

cheers

Kyajae
31st May 2007, 14:17
thought I would air this on the board before embarassing myself with the accountant.

what are the implications of setting up a home office in the form of a temporary log cabin structure in the back garden ?

could say, the supply and install cost of approx £4k be a tax deductible expense ?....and could the temporary log cabin be written off over say 5 years ?

cheers

Probably yes to your question as it could be classed as Capital Expenditure. You might need planning permission as it's for business and you'd have to prove the cabin would not be the subject of constant client visits, traffic visits, noise to the neighbours etc. However, you'll most likely be liable for business rates on the property separate to your council tax.

BrilloPad
31st May 2007, 14:23
thought I would air this on the board before embarassing myself with the accountant.

what are the implications of setting up a home office in the form of a temporary log cabin structure in the back garden ?

could say, the supply and install cost of approx £4k be a tax deductible expense ?....and could the temporary log cabin be written off over say 5 years ?

cheers

cant HMRC claim a portion of house sale proceeds?

MikeF
31st May 2007, 14:32
cant HMRC claim a portion of house sale proceeds?


thats why I want to put a seprate, detatched and temporary log cabin.

i am trying to see if I can avoid any right by HMRC....in the hope that a log cabin is not part of the house....but a temporary structure in the garden

Lewis
31st May 2007, 14:40
Can it have swings and a slide. My son would love "office" visits :wink

FiveTimes
31st May 2007, 14:45
Can it have swings and a slide. My son would love "office" visits :wink

You could also try and claim for a new sofa for the office :happy

Bluebird
31st May 2007, 14:59
HMRC have just issued a new document about the "capiatal expenditure" and the £2000 limit for claiming back the VAT - didn't read it all but there was something in there about the VAT on building materials being outside of the scope...

tim123
31st May 2007, 15:34
thats why I want to put a seprate, detatched and temporary log cabin.

i am trying to see if I can avoid any right by HMRC....in the hope that a log cabin is not part of the house....but a temporary structure in the garden

It's easy to avoid HMRC having a claim on it. Don't put the capital cost through the business.

The phrase "cake and eat it" comes to mind.

tim

OrangeHopper
31st May 2007, 15:46
Is a room in the house not available?

MikeF
1st June 2007, 08:43
It's easy to avoid HMRC having a claim on it. Don't put the capital cost through the business.

The phrase "cake and eat it" comes to mind.

tim

i don't mind HMRC having a claim on it....but i'm trying to see if they only have a claim on the log cabin......what I'm trying to avoid is them having a claim on the house because there is a cabin in the garden

if I can find a legal way to have my cake and eat it then why shouldn't I ?

I don't see why I should volunteer to pay more tax than i have to.

I could free up a room in the house...but why should I if I am not obligated to ?

If I can find a way to get a temporary office set up and have it written off in a few years it seems good sense to me.....getting the VAT back would be a bonus....it being a tax deductible makes good sense (rather than to pay 40%)

Chugnut
1st June 2007, 10:26
MikeF, I think it's time to embarass yourself with the accountant, as you put it. That's what you're paying them for.

All the speculating will send you around in circles.

tim123
1st June 2007, 10:34
i don't mind HMRC having a claim on it....but i'm trying to see if they only have a claim on the log cabin......what I'm trying to avoid is them having a claim on the house because there is a cabin in the garden

if I can find a legal way to have my cake and eat it then why shouldn't I ?

I don't see why I should volunteer to pay more tax than i have to.

I could free up a room in the house...but why should I if I am not obligated to ?

If I can find a way to get a temporary office set up and have it written off in a few years it seems good sense to me.....getting the VAT back would be a bonus....it being a tax deductible makes good sense (rather than to pay 40%)

Of course they are only going to have a claim on the cabin, that is the only thing that belongs to the company.

Ideally when you (and the company) move, the company should take the cabin with it.

As to why you shouldn't be expected to use a room in your house for this purpose, then the IR aren't going to be too sympathic with this problem. No one (and certainly not the IR) is forcing you to run a business from home, you are presumably doing it because you want to.

tim

angusglover
1st June 2007, 10:42
So going back to the couch, did we decide you could claim or not? :talk:

TheFaQQer
1st June 2007, 10:49
Claim it.

Just be prepared to be taxed on it.