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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Tax Dodging Neighbours

31 replies

CrochetQueeen · 03/07/2025 11:22

Lived next door to some people for a number of years, one of them is director for a construction company that deal with large contracts, not your typical residential local builder type. No problem there but they continuously have the workers of that company doing jobs on the house and I mean continuously, decorating same rooms again and again, new patio every few years, every type of building job really, constant replastering, rendering even small jobs. At first just thought fair enough as you want to put your own stamp on your house but it's starting to seem a bit weird when there are never many weeks where they don't have someone doing something for years now. Starting to wonder if this is a tax dodge or just a perk of having employees do whatever your want to your house whenever. It's pretty irritating to live next to in all honesty!

OP posts:
FlipFlopShopInHawaii · 03/07/2025 13:44

BumpyWinds · 03/07/2025 12:33

The main tax dodge would be that the costs of the paint, fixtures, etc, are not coming out of their personal pockets, but the company's.

I had a client in the construction industry that attempted to hide his own house refurbishment within the company's records. I picked it up during my work because the invoices had his home address on as delivery address, rather than the massive building sites they usually worked on.

Surely that would be fraud, rather than a tax dodge?

BumpyWinds · 03/07/2025 15:10

FlipFlopShopInHawaii · 03/07/2025 13:44

Surely that would be fraud, rather than a tax dodge?

In the example I gave, they'd be claiming the costs were business costs and claiming a tax deduction on them, so it is tax evasion in that respect. Possibly fraud, but I'm no solicitor!

On the labour I agree in principle it would seem fair that if a director is using company "assets" for their own benefit then it should be taxable on that director personally. Not a tax expert though, so not sure if that's a regular P11D item!

FlipFlopShopInHawaii · 03/07/2025 16:01

BumpyWinds · 03/07/2025 15:10

In the example I gave, they'd be claiming the costs were business costs and claiming a tax deduction on them, so it is tax evasion in that respect. Possibly fraud, but I'm no solicitor!

On the labour I agree in principle it would seem fair that if a director is using company "assets" for their own benefit then it should be taxable on that director personally. Not a tax expert though, so not sure if that's a regular P11D item!

Ok, get you now!

SerendipityJane · 03/07/2025 16:49

You might want to contact MNHQ to change the subject line to add the question mark you forgot.

Boomer55 · 03/07/2025 16:53

Best mind your own business and get on with your life.🙄

GreenGully · 04/07/2025 15:31

Strange to assume it is tax dodging?

My DH has a construction company and that has opened up all manner of contacts in all manner of trades. They get paid just like anyone else would when they come out to our house to do work.

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