Working from home - SA safe amount to claim?

chunkmcfunk

Hi

Im one of 4 directors of a small non-for-profit voluntary org.

Im just completing my first self assessment online.

I do alot of work at home, more or less every night and weekends!
Ive heard that a safe amount to claim for working expenses at home (light, heat etc) is £3 a week so a total of £156. Is it right that this is the safe amount to claim without having to complete extra forms or provide evidence etc? Can i put a higher amount on or will this just get HMRC wanting to ask for evidence etc.

Also when I put £156 in as unclaimed expenses, the total tax back owed to me was just over £35??? why is so low?

any help would be appreciated.

thanks

BoGoF

You get tax relief on your expenses so assuming you are a basic rate taxpayer then relief is £156 @ 22% = £34.32. You should also bear in mind that up to 5 April 2008 the expense was £2 per week and HMRC take the view that as every employee is entitled to 4 weeks holidays per annum the maximum you can claim for is 48 weeks.

The condition of working from home expenses is that there must be no other place where you can do the work so if you choose to work from home then you cannot claim expenses

telsco

I went on a HMRC run Self Assessment course and was told that it was £3 a week - no questions asked. Damn, it looks like they'll be asking some now, if I was told the wrong info!
The trainer also told me that just doing your business accounts at home at the end of every week is enough to qualify for this money.

fengirl_2

£3 pw is the current agreed rate for working from home.
However, your contract of employment must specify that you are based at home. Are you an employee of this organisation as surely as a trustee you are not allowed to be?

HelzBelz

telsco wrote: »

I went on a HMRC run Self Assessment course and was told that it was £3 a week - no questions asked. Damn, it looks like they'll be asking some now, if I was told the wrong info!
The trainer also told me that just doing your business accounts at home at the end of every week is enough to qualify for this money.

the £3/week is just for the basic gas/electric/water, if you keep records of business related phone calls (copies of your phone bill with them highlighted) you can claim those as expenses on top, but if you're doing most evenings and weekends you might be better getting in touch your with your local HMRC as if you started to keep records of household expenses you might be able to claim a percentage of all the relevant bills, as when I did the course they said that the £3 was literally if you were just using your home PC to do your accounts/paperwork for a couple of hours once a week.

fengirl_2

This thread is getting a bit muddled.
The £3pw relates to employees who are required by their contract of employment to work from home.
The method which HelzBelz describes is for self employed people who use their home for business.
My concern is with the status of the original OP who describes themselves as a director of a not for profit (which does not exist in the UK) and who I feel may actually be an unremunerated trustee.

chunkmcfunk

hi thanks for the help

ive put the £2 amount in and ill wait and see
to answer some of the points.

i am a director but also an employee of the company, i get wages and pay income tax etc.

the company IS a non -for-profit company. our constution states that any income generated must be be put back into the business, not taken as shares, profit etc.

I am not forced to work at home but obviously there are numerous times when i do as i work evenings, weekends etc due to my workload. That is why i think it would be safer just to try for the £2 a week (i think its £3 after april 08 so have to put £2 down for my 07-08 return)

that way, if they think its too small an amount to worry about then great, if not ill just change it.

thanks.