HMRC

[CH1957]

After my earlier post re claiming for fence repairs I rang HMRC and they have told me that we cannot claim for fences, repairs or replacing, or decorating costs etc just because we are childminders. We would have to do these repairs regardless and they will not allow claims in our accounts.

Just thought I would share as dont want anyone getting an investigation!

[Bridey]

So between you and Debbie we have three different answers direct from the tax office for this question ... a yes, a no and a maybe!! :rolleyes:

:laughing:

[CH1957]

So between you and Debbie we have three different answers direct from the tax office for this question ... a yes, a no and a maybe!! :rolleyes:

:laughing:



Yes!! I did point out that people had been told several different things, but she is head of business taxation locally (did a presentation for childminders recently in my local area re tax returns and I have her direct contact details) and is very definate that just because it is part of our registration requirements to have a safe, secure garden etc we cannot claim even a percentage as we would have to do these repairs anyway. No concessions just because we are childminders.

[Chatterbox Childcare]

I challenge that - I will do tomorrow

We are outside our registration if we do not have a registered area safe and secure

[CH1957]

I challenge that - I will do tomorrow

We are outside our registration if we do not have a registered area safe and secure


This is very annoying Debbie as there doesnt seem to be any consistency! One person is told one thing, and another something different.

If you can get a definate answer and a reason to uphold it I would be very interested, but the lady I spoke to (who is in a senior position not just someone who answers the phone) was very sure of her facts :(

[Chatterbox Childcare]

This is very annoying Debbie as there doesnt seem to be any consistency! One person is told one thing, and another something different.

If you can get a definate answer and a reason to uphold it I would be very interested, but the lady I spoke to (who is in a senior position not just someone who answers the phone) was very sure of her facts :(

they always do but not childminder specific and sometimes that is the problem. Did you get her name aswell as I always put it in my book

[rickysmiths]

I challenge that - I will do tomorrow

We are outside our registration if we do not have a registered area safe and secure

I agree with you.

I have different fencing because I am a childminder so I claimed the % difference between what that cost me to put up compared to what I would have done had I not been childminding.

If it need repairing then I would say that comes under Wear and Tear as does re decorating. But when i had an extension built I claimed a % of the decoration costs because I used a more expensive durable paint than I would have done had it only been for family use. But again any re decoration wuld come out of the Wear and Tear.

[Babycat]

So even if you put a fence up to section off an area specifically for mindees to make your garden safe- you cant claim the cost?

[Chatterbox Childcare]

So even if you put a fence up to section off an area specifically for mindees to make your garden safe- you cant claim the cost?

If you wouldn't of put it there if you hadn't been minding then yes

[CH1957]

Not according to the lady I spoke to at HMRC :(

[Chatterbox Childcare]

I have spoken to an accountant and he said

1. Any question answered by the HMRC is always in their favour

2. If my fence was blown down and has to be fixed in line with my registration it could be argued that it had to be done immediately and I would contract someone and claim the expense

3. Yes my garden has a fence but I wouldn't have it as high unless I was minding so I choose to keep it safe by a wooden one instead of a low 3ft one. Claim the expense

On the flip side - if you claim it you need to be able to justify it - this is why I am now employing an accountant!

[blue bear]

I wouldn't bother with a fence , personally a bit of wire would do, it would be nice to be able to see and chat to the neighbours and not be boxed In by a 6 ft fence.
I was told on a childminder conference by a taxation office we could claim total cost for fences as we have to have a safe area for outside play, I've always put my panels through the accounts, they are expensive and hard work putting up I would not have them if not minding.

At the same time we were told we could not claim e cost of the conservatory as in enhances the value of the house despite it being built and totally used for childminding,seems to me each person tells a different story.

[Chatterbox Childcare]

I wouldn't bother with a fence , personally a bit of wire would do, it would be nice to be able to see and chat to the neighbours and not be boxed In by a 6 ft fence.
I was told on a childminder conference by a taxation office we could claim total cost for fences as we have to have a safe area for outside play, I've always put my panels through the accounts, they are expensive and hard work putting up I would not have them if not minding.

At the same time we were told we could not claim e cost of the conservatory as in enhances the value of the house despite it being built and totally used for childminding,seems to me each person tells a different story.

You can claim for it but you could be charged capital gains when you sell it and that could possibly be more than the amount you had as an expense.

[sarahjane]

So if I were to section an area of my garden off for use of mindee's to separate them from my dogs I would be able to claim for that? At the moment I use a windbreak lol!

[MrAnchovy]

Just to be clear, the reason you cannot claim for a conservatory is nothing to do with enhancing the value of the house or capital gains tax, it is much simpler than that: there is simply no allowance for anyone for any building! You can claim (a proportion of) the interest on a loan for a building, and you can claim (a proportion of) the costs of repair and maintenance for a building or structure (so those replacement fence panels are OK), but for the building or structure itself, nothing.

But there are exceptions for certain types of structure, notably play equipment but also including structures providing 'personal security' which may include a fence. I have posted about this before (http://www.childmindinghelp.co.uk/forum/showthread.php?t=99395&highlight=fence) but cannot give any clear guidance as it is all down to interpretation of the circumstances of each particular case.

[Chatterbox Childcare]

Just to be clear, the reason you cannot claim for a conservatory is nothing to do with enhancing the value of the house or capital gains tax, it is much simpler than that: there is simply no allowance for anyone for any building! You can claim (a proportion of) the interest on a loan for a building, and you can claim (a proportion of) the costs of repair and maintenance for a building or structure (so those replacement fence panels are OK), but for the building or structure itself, nothing.

But there are exceptions for certain types of structure, notably play equipment but also including structures providing 'personal security' which may include a fence. I have posted about this before (http://www.childmindinghelp.co.uk/forum/showthread.php?t=99395&highlight=fence) but cannot give any clear guidance as it is all down to interpretation of the circumstances of each particular case.

What if the room was soley for childminding use - surely that is 100% allowable and then cg?

[MrAnchovy]

What if the room was soley for childminding use - surely that is 100% allowable and then cg?

No, buildings are not allowable either as expenses or for capital allowances (annual investment allowance) regardless of their use. Note however that if you use any part of the home that is your Principal Private Residence (and so exempt from Capital Gains Tax) solely for childminding, the PPR may not apply to that part (and so you may have to pay CGT).