Creche - % costs which can be claimed

[juststarted]

I have recently finished the construction of a purpose built creche which is attached to my home. In relation to costs eg. heat, oil and telephone does anyone know what % of these costs can be claimed in my tax return. The creche will be open from 7am-7pm 5 days p/week and my husband works till 5pm so basically we we will not be using light and heat in the house until after 5pm. Also may be stupid question but I am not VAT registered so, are purchases calculated net or gross in my accounts? I will be employing an accountant but just trying to get a handle on things first.

 

[Domo]

Regarding costs of heat and oil - you will need to use any reasonable calculation of this. Your accountant can give you guidance. Or you could compare previous bills for the same time of year, and allocate the additional units used - may be the most accurate way for electricity anyway.

Telephone will depend on business calls and you will need to monitor this- you can't claim the cost of line rental for your home phone. Maybe consider getting in a separate business telephone line and all can be claimed on that.

If you are not VAT registered, then the gross costs are used in your accounts.
Confirm the above with your accountant.

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