At AccounTax Zone, we understand that not all construction work happens on-site. Many business owners handle planning, estimates, admin, and client calls from home, often without realising that their home office can help reduce their tax bill.

One of our clients ran their construction business from home – managing staff, preparing quotes, and dealing with suppliers – but never claimed any home office expenses. They thought it only applied to desk-based businesses or that it wouldn’t be worth the effort.

The Overlooked Tax Relief: Home as Office

Here’s what many people miss:

• If you use your home for business, you can claim a portion of:
  • Rent or mortgage interest
  • Utilities (electricity, gas, water)
  • Council tax
  • Internet and phone bills
• This helps reduce your taxable profits, which means lower tax bills

What We Did: A Fair and Simple Calculation

We worked with the client to work out how much of their home was used for business and how often. No complicated formulas — just a reasonable approach HMRC would accept.

We then included the relevant portion of these home costs in their accounts.

The Result: Quiet Savings, Year After Year

With this change:

• Their taxable profits dropped by £ 12,000 per annum.
• Their corporation tax liability dropped by £ 3,000.
• They realised that even a few hours a week from home was worth claiming for.
  

Could You Be Missing Out Too?

If you’re running part of your business from home — even just the admin side — you might be able to claim back a share of your home costs.

At AccounTax Zone, we help construction business owners make the most of the reliefs available to them, no matter how small they may seem.

Let us know if you’d like us to check what you could claim for.

Also, you might like to read this: Tax implications on home office