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  • Income Tax – Shared Working Business Centre
  • MrGrim
    Full Member

    I can’t seem to get a straight answer from HMRC so thought STW might come to the rescue.

    I’m a PAYE employee and pay income tax on my earnings. I work from home a lot but recently a shared working centre has been set up in the nearby town. I’m thinking about signing up (£120 a month) and working from there which will free up a room at home.

    Does anyone else do this who is not self employed? Can I claim this as a business expense and have my tax code adjusted?

    jam-bo
    Full Member

    can you get the company to pay?

    mikewsmith
    Free Member

    https://www.gov.uk/tax-relief-for-employees/working-at-home

    Thought about asking work to pay?

    Mine did in the end, great alternative to working from home, I’m a lot more productive in the office space. I also go a little less mad

    MrGrim
    Full Member

    I asked my current company to pay and it was likely that they would but I’m changing jobs in a couple of weeks and don’t want that to be the first impression they have of me, especially as my contract is changing from being home based to office based (I’m assuming there will be flex to work from home).

    jam-bo
    Full Member

    you know what they say about assumption…

    maccruiskeen
    Full Member

    Mine did in the end, great alternative to working from home, I’m a lot more productive in the office space. I also go a little less mad

    But wouldn’t this mean you actually have to get dressed during working hours? – seems like quite a significant downside to me of thats the case.

    mikewsmith
    Free Member

    yes clothes are obligatory but it’s a trade off

    mefty
    Free Member

    No deduction for employee. Note the last line of link above

    If you work at home voluntarily and your employer doesn’t contribute to your expenses, you can’t claim tax relief for what you’ve spent.

    Sandwich
    Full Member

    Putting a placeholder in so I can ask the oracle when I get home. She’ll know the score.

    craigxxl
    Free Member

    Not come across this one before but the key term that HMRC will always refer back to is ”wholly & exclusively” for business use.
    On the basis of what you are saying I would argue that it is allowable but to cover myself I would ask for confirmation from your employer that it is allowable for you to work from this business centre. Back this up with a log of the hours that you are there and it would be pretty hard for HMRC to argue that the expense is anything else other than business.

    mefty
    Free Member

    Craigxxl – he is an employee therefore test is wholly exclusively and necessarily, if he can work at home instead it is not necessary.

    craigxxl
    Free Member

    if he can work at home instead it is not necessary.

    He could also work in the office of the employer.

    It can be argued that he is more efficient outside of his home environment where he has admitted that he is distracted.
    Whilst the £4 a week flat rate isn’t contested by HMRC. He can claim for the additional cost of working from home that he incurs. This would include light & heat, internet etc for the business usage. I’m sure this could cost more than £120pm. Again logging the usage of these utilities is the important part of it and the one room used as an office portion of total household bills doesn’t cut it any more with HMRC.

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