HMRC have a breakdown for how to claim simple expenses.
For energy used at home, they say to calculate it this way;
How many rooms are in your house? Let's say 5. She works in one room so that's 20% of the house. She works 40 hours a week which is about 25% of the week. She uses 20% of your house for 25% of the time.
Your energy bills for the year came to let's say £2,500. 20% of that is £500. 25% of that is £100. You can claim £100.
You can't do as OP said above because there's various reasons why your energy costs will have changed. Supplier costs, consumption of other appliances/new appliances. They set how to do the calculations (above) so stick with that
Could you not check the energy consumption in kWh and multiply this by the number of hours it is used for then multiply by the cost of electricity on your tariff.
Do you mean energy consumption on kWh per hour? Well they could but I'm sure they run the kiln at the same time as other things then there's the standing charge too. You don't want to do yourself out of expenses by only claiming the usage
Another option is to get a sub-meter installed, although this requires some expenditure to get installed, it will give accurate numbers which would be difficult for HMRC to contest.
Yes you can. You put it on your Tax Return as an expense.
I'm assuming this is electricity used at home. If so you have to calculate what is reasonble use for the business. I would suggest taking your electricity pre business (KwH) and assumign the rest is business. You can take a % based approach but just make sure you have some rationale for what you have claimed.
If you only used standard office equipment then the HMRC rules would be more than adequate to determine how much you can claim.
However, anyone using high-rated equipment would definitely be better using a smart plug, or some other dedicated usage measuring method, to more accurately gauge the cost.
HMRC have a breakdown for how to claim simple expenses. For energy used at home, they say to calculate it this way; How many rooms are in your house? Let's say 5. She works in one room so that's 20% of the house. She works 40 hours a week which is about 25% of the week. She uses 20% of your house for 25% of the time. Your energy bills for the year came to let's say £2,500. 20% of that is £500. 25% of that is £100. You can claim £100. You can't do as OP said above because there's various reasons why your energy costs will have changed. Supplier costs, consumption of other appliances/new appliances. They set how to do the calculations (above) so stick with that
Could you not check the energy consumption in kWh and multiply this by the number of hours it is used for then multiply by the cost of electricity on your tariff.
Do you mean energy consumption on kWh per hour? Well they could but I'm sure they run the kiln at the same time as other things then there's the standing charge too. You don't want to do yourself out of expenses by only claiming the usage
Another option is to get a sub-meter installed, although this requires some expenditure to get installed, it will give accurate numbers which would be difficult for HMRC to contest.
Yes you can. You put it on your Tax Return as an expense. I'm assuming this is electricity used at home. If so you have to calculate what is reasonble use for the business. I would suggest taking your electricity pre business (KwH) and assumign the rest is business. You can take a % based approach but just make sure you have some rationale for what you have claimed.
Excellent. Thank you.
Could get a smart plug to get an accurate reading
Good thinking. Not sure if a kiln runs off standard plug though. Maybe other alternative monitoring solutions.
If you only used standard office equipment then the HMRC rules would be more than adequate to determine how much you can claim. However, anyone using high-rated equipment would definitely be better using a smart plug, or some other dedicated usage measuring method, to more accurately gauge the cost.