a client has an outbuilding - used as a home salon and kids play room etc - her hubby is building it for her - its about 5/10 metres away from property - my questions are - can she claim the building of the structure, fixtures fittings as expenses - i was thinking no for the actual building but unsure about electric, plastering work? if i she can will she proportion it out as used as a kids room too?
not sure if she will be applicable for council rates and can she claim these as an expense?
Also electricity she will be charged for outbuilding she runs off the house - how would she apportion that out is the outbuilding classed as a room and bill split accordingly?? so sorry for the mass of questions!!
The actual building shell she couldnt claim but would be able to incur certain expenses if meets the conditions of integral features as capital allowances. Would also be able to claim relevant plant and machinery allowances. Would need to pro rate what can claim between business and personal use.
The rates here in Scotland are based on the rateable value of the premises. Not sure if that is also applicable south of the border.
For electricity if not metered separately would be a case of allocating a reasonable proportion to the outbuilding. Easiest basis is that based on floor space. Though could maybe justify higher % if based there for a larger % of working day.
