Home office allowable deductions

[mrtachyon]

Hello,

I am a sole trader and I've recently moved to a larger property that has allowed me to allocate some space for a proper home office (although I understand I shouldn't claim the room as solely for business use due to capital gains - I've put a sofa bed in the room as well)

Whilst I understand I can claim deductions for typical office equipment, e.g desk, office chair, computer etc. I was wondering what about the more quality of life type improvements.

My main example is I've purchased a reasonably expensive stereo (the deduction would be worth claiming) for the home office so I can listen to music whilst working as I've found this helps me focus and I prefer it over headphones. I'm not sure if this is allowable as whilst I only use it when working (I have my own separate personal stereo I use in the living room) it's not directly related to the work I do - i.e I don't work in anything audio visual related.

Wondered if anyone had any thoughts on this and if HMRC are likely to turn their nose up at it?

Thanks!

 

[Scalloway]

Personally I would't put a stereo through my business if it was in my home.

 

[japancool]

Hmm, would you need a PRS license for this?

 

[MyAccountantOnline]

Hello,

I am a sole trader and I've recently moved to a larger property that has allowed me to allocate some space for a proper home office (although I understand I shouldn't claim the room as solely for business use due to capital gains - I've put a sofa bed in the room as well)

Whilst I understand I can claim deductions for typical office equipment, e.g desk, office chair, computer etc. I was wondering what about the more quality of life type improvements.

My main example is I've purchased a reasonably expensive stereo (the deduction would be worth claiming) for the home office so I can listen to music whilst working as I've found this helps me focus and I prefer it over headphones. I'm not sure if this is allowable as whilst I only use it when working (I have my own separate personal stereo I use in the living room) it's not directly related to the work I do - i.e I don't work in anything audio visual related.

Wondered if anyone had any thoughts on this and if HMRC are likely to turn their nose up at it?

Thanks!

When you look at any whether costs are allowable they have to be 'wholly and exclusively' for the purpose of your trade.

If you've got some time do some google searches and look at some of the cases where the words 'wholly' and 'exclusively' have been considered. One of them is Mallalieu v Drummond together with lots of others.

If you do feel strongly the cost is wholly and exclusively for business purposes, and claim it, whether HMRC challenge it will depend on several factors including cost and if they do so I suspect they will be looking at duality of purpose.