Tax implications of working from home

jennimoo

I am trying to work out what expenses are 'deductible' for my tax return.

I am pretty sure I can claim for:
- Mileage (I only get paid 25p per mile)
- The £2 a week expenses for having to work from home

but I'm unsure if I can claim any of the following:
-Sat nav - I had to buy this as travel around to loads of different sites for work
-Shelves for the spare room I use as an office
-paint and carpet for the spare room

Does any one have any experience of claiming this kind of stuff?

Jenni

nyjulian

Hi all,

I read Self-employed can set mortgage costs against tax. I was wondering if somebody could tell me if this is true an how does it work?

I work from home as a consultant and have a small room I use as office. I have a mortgage and want to deduct the interest payments from taxable income but I want to make sure I can do that.

All help is greatly appreciated.

olly300

anniehanlon wrote: »

Just a thought for you all. you have to declare you are using part of yur
home as an office for employment to yur household insurers

If you want the equipment in there insured then yes you do.

A lot of insurers will not insure you if you use any part of your property for business use. Key Connect and Hiscox (more expensive) are insurance brokers who do.

mtem74

Linguistic_Chimp wrote: »

Hope someone can help.

On 20 August 2007, I began doing some self-employed translation in my spare time, in addition to my full-time job paying £26,814/year. I failed to declare this 2nd income as I did not think it would be very much, and I needed it to pay off my debts.

As of today, the total amount I have made from my 2nd income so far is £6239. Although I am now supporting my partner with this extra money while he studies, we are both concerned that I should declare the 2nd income.

My questions are:
- if I declare how much are the penalties I would have to pay for not declaring within 3 months of starting my 2nd income? (on the HMRC website it says £100, but that it may be more depending...)
- if I declare, how much will I be likely asked to pay from this £4131 and when would I have to pay it? Up front straightaway or in instalments or what?

All this is very important because with my partner in full-time study and myself also in spare-time study, we will both be leaving our jobs at the same time in a few months and looking for (probably lower paid) jobs leaving our finances in somewhat of a precarious position...help!

sorry cant give exacts here but 1st off get in touch with the tax man now !!!
Beacuse you started in Aug 07 you can still let them know by 6 Oct 08 without being hit with a penalty.

You'll have to complete a tax return for the year.

Unfortuantely you only have 3 months for NIC so guess you'll have a penalty with them.