[Avatar]

Working from home expenses for sole trader with multiple businesses

25/01/2018 08:35:09
I run two businesses from home and so need to keep and submit two separate self employment records. I spend at least 84 hours a month on business A, and between 85 to 120 hours a month on business B.
What is the best way to claim working from home expenses? Can I use the simplified expenses method, or do I need to use the calculated method and split the expenses proportionally based on the number of hours spent on each business per month?
[Avatar]

Re:Working from home expenses for sole trader with multiple businesses

25/01/2018 09:40:46
Good morning Dawn


You can use whichever method you prefer. Please see links below for more information

https://www.gov.uk/hmrc-internal-manuals/business-income-manual/bim47820

https://www.gov.uk/hmrc-internal-manuals/business-income-manual/bim47825

https://www.gov.uk/hmrc-internal-manuals/business-income-manual/bim75010

Kind regards
[Avatar]

Working from home expenses for sole trader with multiple businesses

25/01/2018 10:55:55
Thank you for getting back to me. Sorry if my question wasn't clear enough. What I really need to know is if I use the simplified expenses method, would I split £26 for working 100 or more hours proportionally between the businesses, or would I claim £18 a month for business A, and £18 or £26 a month for business B?
[Avatar]

Re:Working from home expenses for sole trader with multiple businesses

25/01/2018 11:26:03
Hi Dawn


As the hours relate to two separate trades, you would be recording the working from home for each separately rather than one total.

Kind regards

Reply