"Claiming Back" money for house/electric etc

Mistral001

BoGoF wrote: »

Because as you are essentially an employee of the company you fall under the Schedule E rules for expenses which under Section 336 Income Tax Act 2003 must be incurred wholly, exclusively and necessarily in the performance of the duties of the employment. Mortage costs and council tax could not be said to be incurred in the duties of employment.

I suspect you may be getting confused with the rules for the self employed which are more relaxed.

Edit: Not clear from your OP if you mean the company can claim these deductions but is your business address your home. What type of work do you do?

I see. I am self-employed and claim for part of mortgage and rates. So basically, if you are a limited company, you cannot claim those items unless it you claim them under rental of property. So in effect you will become a landlord renting out part of your house to a Ltd company.

Savvy_Sue

Mistral001 wrote: »

I see. I am self-employed and claim for part of mortgage and rates. So basically, if you are a limited company, you cannot claim those items unless it you claim them under rental of property. So in effect you will become a landlord renting out part of your house to a Ltd company.

And if you are being paid rent by your company, I think you will incur a tax liability on that rent, and also a possible CGT liability. I'm not sure, that's just from something I've read NOT in connection with working from home, the accountants here will confirm or deny. Speaking to your own accountant is always the best plan, even if you've done your own general research first, because YOUR accountant will (or should!) know and understand YOUR specific tax situation.

BoGoF

seismicryan wrote: »

I am the only full time employee in our company and I work from home, so I am incurring costs working for the company..

The company is in sports equipment manufacture and distribution..

Ryan

But your mortgage and council tax is not a cost of the company. You would be paying these regardless of the fact you work from home.

So the sports equipment is manufactured in your home and distributed from your home?

seismicryan

BoGoF, No, our merchandise is manufactured in the USA and Asia, my house is just the registered office!

Ryan