5 Questions on what home expenses you can claim

 

I’ve read the guide to claiming home expenses and have some questions as follows.

 

1.      If I use 20% of my house for business (area or number of rooms) and I work in my business room for 8 hours per day, and use it for 1 hour per day for non business, am I right thing I can only claim 6.6% of my household bills (i.e 20%*8/24). Is that right, because it seems very low, given I use the room for business 8 out of 9 hours it’s being used.

2.      In the example above, if I stop using the room privately and just use it for business for 8 hours will my allowable claim rise to 20% from 6.6%?

3.      Am I allowed to claim any business expenditure I incurred in the seven years before I registered the business? Does this 7 year rule still apply?

4.      I’m introducing my computer into the business at it’s current value of £400, but I only use it for business 75% of the time, the other 25% is private use. What value do I introduce it to business at and what capital allowance can I claim on it?

5.      If I use a personal bank account for my business am I allowed to charge the interest charges to the company when I’m in overdraft, or can I only do that with business accounts and does it make a difference if I have some private expenditure going through the account?

 

Many thanks for your help

 

David