Tax relief on Mortgage

costingbunny_2

Not sure if I am in the right place here so sorry. I am self employed and have been for 6 years. I am verty strict with my returns and pay a large amount of tax which I would love to reduce if possible. I work from an office, which is paid for by my client and I work from home once a week. Last year I claimed back a % of my utlitly bills but someone has said I can offset a % of my mortgage and council tax as well - surely not?? Advice anyone??
I am also thinking of using an accountant this year on the idea that he will be able to save my his fees in tax??

narced

No, you can't do this. I work some of the time from home and as you say you can claim a % of your utility bills but not mortgage/council tax. You also have to be careful as if you claim to be working from home you may be liable for business rates. It might also affect your insurance.

It is worth talking to an accountant as they should be able to advise you if they can save you money - if its more than their fees then its worth doing!

BoGoF

narced, I assume you are an employee who works from home ? Your answer is correct for employees but not for self-employed people.

See this extract from HMRC Business Income Manual - http://www.hmrc.gov.uk/manuals/bimmanual/bim47820.htm

Gorgeous_George

I'm sure you can claim all sorts. You may get clearer responses on the Cutting Tax board.

GG

EDIT. Top link from BoGoF

narced

BoGoF wrote: »

narced, I assume you are an employee who works from home ? Your answer is correct for employees but not for self-employed people.

See this extract from HMRC Business Income Manual - http://www.hmrc.gov.uk/manuals/bimmanual/bim47820.htm

That's true I am. Still, check that 'solely for business' clause - one day a week does not sound like it qualifies.