Business tax working from home
FatVonD
Posts: 5,315 Forumite
I'm about to apply for a local authority small business grant but, prior to the application, it says that you will be assessed for business tax.
I am a sole trader designing and selling cards on Amazon so the business as such is mostly a computer and my design skills. Stuff gets printed and then goes off to be fulfilled by Amazon so what storage there is fits under and on my desk.
This is my first year of trading and I wasn't planning to write off any of the heating/lighting etc against tax or 'rent' myself space as I wouldn't want to then have to pay CGT. Can anyone advise whether I should be liable for business rates, please?
I am a sole trader designing and selling cards on Amazon so the business as such is mostly a computer and my design skills. Stuff gets printed and then goes off to be fulfilled by Amazon so what storage there is fits under and on my desk.
This is my first year of trading and I wasn't planning to write off any of the heating/lighting etc against tax or 'rent' myself space as I wouldn't want to then have to pay CGT. Can anyone advise whether I should be liable for business rates, please?
Make £25 a day in April £0/£750 (March £584, February £602, January £883.66)
December £361.54, November £322.28, October £288.52, September £374.30, August £223.95, July £71.45, June £251.22, May£119.33, April £236.24, March £106.74, Feb £40.99, Jan £98.54) Total for 2017 - £2,495.10
December £361.54, November £322.28, October £288.52, September £374.30, August £223.95, July £71.45, June £251.22, May£119.33, April £236.24, March £106.74, Feb £40.99, Jan £98.54) Total for 2017 - £2,495.10
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Comments
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as long as you do not have a room which is used wholly and exclusively for business purposes you cannot be assessed for business rates as you would retain mixed use of wherever you "work" from.0
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Thank you, 00ec25, that is reassuring, I didn't want to shoot myself in the foot by applying!Make £25 a day in April £0/£750 (March £584, February £602, January £883.66)
December £361.54, November £322.28, October £288.52, September £374.30, August £223.95, July £71.45, June £251.22, May£119.33, April £236.24, March £106.74, Feb £40.99, Jan £98.54) Total for 2017 - £2,495.100 -
We've been running a limited company from one of our spare bedrooms for 6 years and business rates are not an issue.
Have you informed your house insurance and mortgage provider/landlord? They will need to know, particularly if you are keeping stock in the house.No longer a spouse, or trailing, but MSE won't allow me to change my username...0 -
trailingspouse wrote: »We've been running a limited company from one of our spare bedrooms for 6 years and business rates are not an issue.
Have you informed your house insurance and mortgage provider/landlord? They will need to know, particularly if you are keeping stock in the house.
The majority of my stock is held at Amazon so only bits and pieces here but I do have product insurance separate to my house insurance (more in case somebody chokes on something but stock is covered as part of it too!)
I hadn't really thought about my mortgage provider so thanks, I will look into that.Make £25 a day in April £0/£750 (March £584, February £602, January £883.66)
December £361.54, November £322.28, October £288.52, September £374.30, August £223.95, July £71.45, June £251.22, May£119.33, April £236.24, March £106.74, Feb £40.99, Jan £98.54) Total for 2017 - £2,495.100 -
Your insurers still need to know, even if the stock is covered under a separate insurance.
Your stock could, for example, make the house more prone to burglary, or be a fire risk. And it's not up to you to decide whether this is the case for you or not - you need to tell them and they will decide. If you don't, and there's a claim, and they then find that you were running a business, they could use it as a reason for not paying out.No longer a spouse, or trailing, but MSE won't allow me to change my username...0
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