Isn't there also going to be a potential exposure to Capital Gains Tax down the line should you decide to dispose of your house? Only that portion related to your principal private residence would be exempt from CGT. Not the business element.
If they are a good tenant I would be willing to turn a blind eye
This is not good advice.
For starters there's the issue of rates due to the council for operation of a business. Then there's insurance, most residential policies are invalidated in the case of the unit being used for anything other than a dwelling. Finally there's also a potential planning permission issue for change of use of all or part of a residential property.
You need to check your lease - it should ban the use of the unit as anything other than a single residential dwelling. After that you should seek legal advice. You should not be put in a position where these tenants leave you with liabilities.
AgreedThis is not good advice...
Very likely, the issue in this thread being that tenants have created problems for the landlord, without his / her prior knowledge or consent; if people choose to run a business from their own properties, and create problems for themselves, that's a different matter.... so does that mean that anyone that has a registered ebay business for example and works from home is also in the same situation as regard rates/insurance/planning as you have outlined above?
BTW there is a vast difference between working from home (phone calls, internet access) and running a business at home (web-site hosting, customers calling to the door, receiving deliveries, packaging product, shipments out, etc.).
Thats a good point to consider he may like me be a consultant or a contractor and its registered only for tax purposes.
It's irrelevant what kind of business; the tenants have no permission from the landlord.Think we better find out for GM88 what type of a business is being conducted at the premises before we speculate any further
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?
We use cookies and similar technologies for the following purposes:
Do you accept cookies and these technologies?