A few tax questions

[willthisnamework]

I was having a read through a magazine and came across an advert for www.taxrebatesformechanics.co.uk and looking on the HM rev http://www.hmrc.gov.uk/incometax/relief-tools.htm website looks very simple thing to do I guess the above website is very similar to a PPI site?

Now the only (pretty sure it a stupid) question I have is the wording "specialist tools" does that only mean torque wrenches, dial indicators, one off tools etc or is it just badly worded and spanners, screwdrivers, drills etc are ok to get a rebate on?

Now the next question. I am currently working as a employed member of staff. Now I do have the opportunity to go self employed with some of the benefits of being employed (Holiday pay) would make my boss life easier as I would just fire over a invoice and he wouldn't have to mess about sorting out NI and my tax. Now I know my fuel to and from work, tools etc are all tax deductible but what about places to live? For the last year I have spent my time in a B&B that can issue invoices. As I understand it that would be tax deductible? But how about if i rent a room?


Thanks

[richwig83]

I think you can only claim for rent/mortgage/bills (or proportion of) if you use a specific room/part of your house for your job.

All your tool though... Claim for them all.

[Mr Pointy]

willthisnamework said:

Now the next question. I am currently working as a employed member of staff. Now I do have the opportunity to go self employed with some of the benefits of being employed (Holiday pay) would make my boss life easier as I would just fire over a invoice and he wouldn't have to mess about sorting out NI and my tax. Now I know my fuel to and from work, tools etc are all tax deductible but what about places to live? For the last year I have spent my time in a B&B that can issue invoices. As I understand it that would be tax deductible? But how about if i rent a room?Thanks

I'd strongly suggest you talk to an accountant to ensure you're truly going to be in a self employed situation.

[willthisnamework]

Just to add I live back at "home" at the weekend.

[Countdown]

willthisnamework said:

Now the only (pretty sure it a stupid) question I have is the wording "specialist tools" does that only mean torque wrenches, dial indicators, one off tools etc or is it just badly worded and spanners, screwdrivers, drills etc are ok to get a rebate on?

All the tools you use mainly for work would be tax deductible.

willthisnamework said:

Now the next question. I am currently working as a employed member of staff. Now I do have the opportunity to go self employed with some of the benefits of being employed (Holiday pay) would make my boss life easier as I would just fire over a invoice and he wouldn't have to mess about sorting out NI and my tax.

Based on the information you have provided you would be considered as an "Employee" rather than "Self employed". For example you are working from one site, fixed hours, for one "client". The fact that you would be getting holiday pay suggests even more that you are an employee. Unless I am misunderstanding - would you have your own customers that you invoice and you are just "renting" part of the premises from your boss?

willthisnamework said:

Now I know my fuel to and from work, tools etc are all tax deductible but what about places to live? For the last year I have spent my time in a B&B that can issue invoices. As I understand it that would be tax deductible? But how about if i rent a room?
Thanks

Fuel from a permanent place of work ISN'T tax deductible, neither are your normal living costs.