Plant or structure? Posh shed or what? What is 'workshop' actually to be used for? Not plant. More often than not, not allowable for tax purposes. Why dont they ask before they build/spend.
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
He is a sole trader Joiner. It is made of wood and used to store tools and maunfacture things needed for jobs. He mentioned windows.
I really don't think this is a shed in the bottom of the garden kind of shed, not looking at the receipts and invoices anyway.
Hi Toni
I think Joanne described it well with 'Can of worms'
Almost impossible to give a definitive answer but by the sound of it and to hazard a very rough guess it sounds as if it would be capital expenditure as an outbuilding and no CA, but maybe able to claim for integral features, I have not had a chance to read the link that Joanne provided but it may be worth you looking at CAA2001 starting with section 21 which gives you quite a comprehensive list of what is and what is not allowable for CA.
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Doug
These are only my opinions of how I see things and therefore should not be taken as advice
Capitalise, no cap allowances most likely based on scant info so far, BUT may be able to claim for some of contents if they fall under the plant definitions, but what happens when the guy moves house and inherent tax issues. Consider if claiming it is his business pad that it could incur business rates. Does he have planning permission. Or building regs check. Business insurance covering shed and contents. Other insurances.
Have a read of case law. Caravans popped into my head, perhaps just cos it's a sunny day.
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
I wanted to have a go at sawing a lady in half once but it wasn't successful. Poor girl was in bits.
I don't know whether to or heehee
Bet yout laughed Joanne, I did
I spoke to a potential new client today who's started to convert her detached garage in to a workshop/display space for her soft furnishing business - quite a large figure was quoted! I think the general bookkeeping work would be good but I've not had any experience of this type of expenditure. Thinking suggesting an accountant might be best
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Janet
They keep making the system idiot proof but then make bigger and better idiots!
I spoke to a potential new client today who's started to convert her detached garage in to a workshop/display space for her soft furnishing business - quite a large figure was quoted! I think the general bookkeeping work would be good but I've not had any experience of this type of expenditure. Thinking suggesting an accountant might be best
Hi Janet
Sounds like the structure is already there so as both myself and Joanne suggested above maybe a claim for CA on integral features, might be best to get this sorted before she agrees for any works to be carried out so she is aware of what tax relief she will be entitled to.
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Doug
These are only my opinions of how I see things and therefore should not be taken as advice
Hi Janet
I would suggest she needs a tax specialist (no I dont mean a CA specialist as they will be claiming for the moon as well!) or an Accountant with appropriate tax specialisms given you are not comfortable with this one.
She needs to have considered the before - planning permission or building regs; impact on business rates, impact on insurances (she will need cover for folk wandering on to her property who have no interest in it!), additional traffic at her house issues (such is asked by the council and the insurance companies) and the rest.
Then there is the after issues - CGT on disposal.
Then there is the CA and expense issue.
I mentioned integral features earlier but Toni doesnt appear to have been on. Great care needs to be taken here as the issue of W&E must still apply and that is where many folk go wrong.
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
Hi Janet I would suggest she needs a tax specialist (no I dont mean a CA specialist as they will be claiming for the moon as well!) or an Accountant with appropriate tax specialisms given you are not comfortable with this one.
She needs to have considered the before - planning permission or building regs; impact on business rates, impact on insurances (she will need cover for folk wandering on to her property who have no interest in it!), additional traffic at her house issues (such is asked by the council and the insurance companies) and the rest.
Then there is the after issues - CGT on disposal.
Then there is the CA and expense issue.
I mentioned integral features earlier but Toni doesnt appear to have been on. Great care needs to be taken here as the issue of W&E must still apply and that is where many folk go wrong.
Thanks Joanne
I'm speaking to them, hopefully by the end of this week, explaining that they need to get advice from an accountant.
W&E?? I'll no doubt kick myself when you tell me
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Janet
They keep making the system idiot proof but then make bigger and better idiots!
heehee
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