Help - Am I allowed to work from home?

[Stuff 10]

Did I dream this, or if you're working from home, can you claim some money back on your mortgage??

[irenewilde 10]

Hi,

My understaanding is that it refers to customer facing businesses or businesses that are likely to disrupt a residential area - car repairs, light industry, smelly things, etc.

I really wouldn't sweat this one.

 

Like the bloke next door to us who parks his building van halfway across our dirve on a narrow road on a bend so it's really hard to get off the drive safely. And his workmates cars parked on the road so they can all go off in the van together. And the skips he has delivered to the house on an almost weekly basis so he can dump all the glass, window frames and bits of other people's houses that they don't want blighting their view so we can sit and look at it instead. If I'd wanted to live next to a public tip, I'd have moved to one. Been wondering for a while if there's anything I can do about this. He doesn't seem to see it as a problem.

[Tony 10]

That's pretty different from running a quiet business though so in my opinion I would say that Lickable is ok.

 

If somebody is causing a public nuisance you are potentially into ASBO territory, but that's hardly the place to begin

 

If you can't get any sense from talking to your neghbour and explaining how you feel then I would think that the Councils Neighbourhood / Area Action Team for your area would be a good starting point. Most people get pretty embarrased and take action if they think that they are causing upset to their neighbours though.

[KenH 10]

My deeds say I can't work from home. My small estate was all built at the same time and I assume they all have the same deeds. I would guess that about half of them have someone working from home to one degree or another. A quick search on the internet shows 5 limited companies registered between about 30 houses for a start. I work from home as well but you couldn't really tell if I am simply doing some work at home, or if I work entirely and only at home.

[Kristian 11]

Remember to let your home contents insurer know you'll be working from home. The price may go up a tad, but it's better than having a claim turned down for non-disclosure.

[peterw 10]

Getting a covenant removed can be an expensive process.

 

Cheaper to buy the freehold. You can then remove the convenant. In any event, I thinkit unlikely that anyone will cause a fuss over someone working from home. A lot of people do it, and I believe, as has already been stated, that a ‘business’ means converting he place into a ‘shop’ or ‘workplace’ e.g. something noisy and at odds with the neighbours.

[Strix 11]

I'd be more bothered about the capital gains tax Lickable

 

The other reason you can't run a business form home, is the amount of 'industrial waste' you generate - so be VERY careful what paper you put in your wheelie bin

[D G - DON 10]

Edited as i have looked in to this , and your insurance could also be effected, i agree, get yourself an accountant and a solicitor as there are ways around obsticals !

[happyhippy 11]

Now here's one, because I'm trying to set up a charity (not retail), but have no premises. Any ideas on whether I could have the registered address at my place or not? The Charity Commission is a bit vague about it, but I do live in a council property, so do I need to write to the council for possible permission?

[42fta 10]

Did I dream this, or if you're working from home, can you claim some money back on your mortgage??

It might depend on what your business is, when I used to childmind it was allowable against personal tax.

The calculation was :

A= percentage of your home used for the business. eg, 1 room used as office in a 2up-2down would be 25%.

B = percentage of a full working week that the home is used for the business. thats active use like planning, doing and phoning, not the fact that you might store stuff there all the time eg, if you spend 3 days in the home office, 1 day out meeting clients and 1 day doing housework its 60%

C = mortgage interest not total mortgage repayments.

 

Amount claimable against taxation is C x (A/100) x (B/100)

 

If in doubt, phone the tax office, the above is the calculation they gave me. I don't know if it is scaleable for all forms of self-employment or if it covers employees who work from home.

[KenH 10]

It might depend on what your business is, when I used to childmind it was allowable against personal tax.

The calculation was :

A= percentage of your home used for the business. eg, 1 room used as office in a 2up-2down would be 25%.

B = percentage of a full working week that the home is used for the business. thats active use like planning, doing and phoning, not the fact that you might store stuff there all the time eg, if you spend 3 days in the home office, 1 day out meeting clients and 1 day doing housework its 60%

C = mortgage interest not total mortgage repayments.

 

Amount claimable against taxation is C x (A/100) x (B/100)

 

If in doubt, phone the tax office, the above is the calculation they gave me. I don't know if it is scaleable for all forms of self-employment or if it covers employees who work from home.

 

If you claim that your house is used partly as a residence then you have to be careful when you come to sell it. If, for example, you claim that 50% of your house is used entirely for your business then you might reasonably get the company to pay 50% of all your bills. When you come to sell your house you would normally be exempted from capital gains tax, but not is you have claimed that part of it is a business premises. In this case you might end up paying tax on that part which was a business and which you had previously enjoyed claiming back tax for. My advice would be to do things in moderation, don't make yourself stand out, and fill in your own tax returns.

[willman 10]

in my experience working with solicitors most houses have a covenant in the deeds restricting running businesse from home.

the fact that the majority of people ignore it doesn't make it lawful or right.

the only legal way to do it is to have a registered head office or mailing address.