What do you write off against tax?

by amunt
5 replies
I just paid my tax bill (late) and I was wondering what people write off against tax. Obviously, anything you buy that's relevant e.g a computer, programmes etc.. But does anyone deduct against home office space or electricity bills for example.
Cheers
#tax #write
  • Profile picture of the author Alexa Smith
    Banned
    Originally Posted by amunt View Post

    I just paid my tax bill (late)
    You're in the UK, then?

    Originally Posted by amunt View Post

    does anyone deduct against home office space or electricity bills for example.
    In the UK, if you own your own property, it can under some circumstances be important not to start claiming a proportion of perfectly legitimate domestic expenses without an accountant's advice, because under some circumstances doing so can prejudice your right to a subsequent full exemption on capital gains tax on the sale of a "primary residence" (this is the reason some people who work at home are advised not to claim for this - but it's complicated). I'm not purporting to offer tax advice, just mentioning that it can be very worthwhile getting proper professional advice before deciding one or two things like this which can turn out to have unexpected potential disadvantages in future.
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    • Profile picture of the author theaccountant
      the revenue have come out with new 'optional' i.e they would prefer people to use them ,rules.

      For some people this might even improve their expenses claim against income.

      The added advantage is that the revenue will not query their own standard preffered expense claim allowances as long as they look reasonable in the context of the individual tax payer.

      Where people continue to claim the old fashioned way , don't be surprised if they come literraly knocking on your door in future years to check computer records etc.

      They need the money and are under tremendous pressure to squeeze the tax payer .
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  • Profile picture of the author Mogly
    I don't think you can claim home electricity.. but honestly, just go ask a professional.
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    • Profile picture of the author Alexa Smith
      Banned
      Originally Posted by Mogly View Post

      I don't think you can claim home electricity.. but honestly, just go ask a professional.
      In the UK you can. (I'd imagine you can in all countries?). If you're using a room in your house as an office, even if you're also using it as a dining-room or whatever, you can certainly claim a proportion of your home electricity bill - among other domestic bills - as tax-deductible (and maybe more than the proportion that the "office-space" takes up, too). Whether it's the right policy for you to choose to do so is a different matter.
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    • Profile picture of the author theaccountant
      Originally Posted by Mogly View Post

      I don't think you can claim home electricity.. but honestly, just go ask a professional.
      in uk you can claim a portion based on rooms (complex) or from april a standard allowance based on hours used
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