Contact Details

Allum Book-Keeping Services
33 Kestrel View

Telephone Number
0800 611 8172

2nd Telephone Number
01305 701 234

Email Address

Running your Business from Home

If you use your home for short periods of time you can claim a fixed amount of £4.00 per week, or £18.00 per month from 2012-13 onwards, you don't need to provide any records of the household expenses see

Or if you work for more than a few hours per week you can claim the actual business apporation.

Fixed costs

  • Council Tax
  • Mortgage Interest
  • Home Contents Insurance (unless business use is covered by a separate policy then the cost of that policy is allowed in full, with no part of the household policy being allowed)
  • General Repairs (general redecoration of the exterior or repairs to the roof)
  • Rent


Say you have a 3 bedroom house, with one living room, one kitchen, one dining room , one barthroom and one hall. You use one of the bedroom for business use. The room are the same kind of size you don't count the barthroom, hall or toilets so the portion use in 1/6 for area.

So say you use the room 5 hours per day for business purposes and the family use it for 2 hours. The portion of use is 5/24 for time. Say total cost is £6000 the portion for room would be £1000 and business portion would be £208.33.

Repairs and maintenance for room used for business

Say the cost of repairs and maintenance cost £200 for business room only. Business portion of use 5/24 for time. the business portion you would be able to claim would be £41.66.

Heating and lighting running costs

  • Electricity
  • Gas

Say total cost is £2000 the room portion is 1/6 the room portion cost would be £333.33. You use room for 5 hours per day for business purposes and the family use it for 2 hours. the business portion would be 5/7 so would be able to claim £238.09. 

Cleaning costs

If say you have a cleaner to clean your business room and two other rooms. The business room portion would be 1/3 say total cost is £100 business room portion £33.33 you would be able to claim £6.94 5/24.

Telephone and broadband cost

The cost of business call is allowable. Also a poration of the line rental say your line rental is £20, business calls cost £10 and personal calls cost £30 business portion would be 10/40 so you would be alble to claim £5 for line rental and £10 for calls.

You may have an inclusive package say total ine rental is £25 and your business call are 50 minutes and personal calls are 100 minutes business portion would be 50/150 you would be able to claim £8.33.

For broadband follow the approach used for telephone rentals.

 You may want to look at

Capital gains tax

As long the room you use for business you also use it for personal use as well you won't be liable for capital gains tax when you sell your home. 



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