A HIGH number of home-run businesses in West Devon could be missing out on valuable tax breaks, such is the intricate nature of the UK tax system, says ACCA — the Association of Chartered Certified Accountants.

Tax relief is available on electricity, water, heating and even cleaning costs. House repairs are subject to tax deductions in certain cases, but ACCA says many businesses are not taking advantage of the tax relief.

Recent figures estimate there are 254,377 home business owners in the South West, with West Devon having among the highest percentage in the country. 4,500 workers are home business owners, accounting for 19% of the total workforce in the region.

Matthew Melksham, ACCA South Western members' network chair said: 'The South West and in particular West Devon has among the higher proportion of home businesses. The worst thing that could happen now in this atmosphere of innovation is for some of those new, emerging businesses to struggle due to unwarranted tax bills.

'With so much to think about when running a business, tax deductions can get overlooked. It's worth doing your homework and getting sound advice to ensure you aren't paying more than you need to.'

Chas Roy-Chowdhury, ACCA head of taxation said: 'It might not seem like much, but over the space of a year, all these costs for heat, light, even decorating expenses add up and could help a new, home-run business at a time when available cash is at a premium.

'Of course, it is not always straightforward and it will not always be clear what can and cannot be allowed. Getting it wrong could land you in hot water with HMRC, so it's worth going over what is allowed and what isn't with an accountant.'