How Do I Claim Tax Relief on Expenses I Incur for My Job?
You might be able to claim tax relief if• you use your own money for things that you must buy for your job
• you only use these things for your work
You cannot claim tax relief if your employer either gives you
• all the money back
• an alternative
What Do I Get Back?
You must have paid tax in the tax year. You’ll get tax relief based on what you’ve spent and the rate at which you pay tax. For some claims, you must keep records of what you’ve spent. You must claim within 4 years of the end of the tax year that you spent the money. If your claim is for the current tax year,
HM Revenue and Customs (HMRC) will usually make any adjustments needed through your tax code. If your claim is for previous tax years, HMRC will either make adjustments through your tax code or give you a tax refund.
Can I Claim Tax Back If I Work From Home?
You can claim tax relief if you have to work from home, for example
• your job requires you to live far away from your office
• your employer does not have an office
You cannot claim tax relief if you choose to work from home. This includes
• your employment contract lets you work from home some or all of the time
• you work from home because of COVID-19
• your employer has an office, but you cannot go there sometimes because it’s full
What About Other Things I Buy for Work?
You may be able to claim tax relief on the cost of
• repairing or replacing small tools you need to do your job (for example, scissors or an electric drill)
• cleaning, repairing or replacing specialist clothing (for example, a uniform or safety boots)
You may be able to claim tax relief if you use cars, vans, motorcycles or bicycles for work. This does not include travelling to and from your work, unless it’s a temporary place of work.
How much you can claim depends on whether you’re using
• a vehicle that you’ve bought or leased with your own money
• a vehicle owned or leased by your employer (a company vehicle)
You may also be able to claim tax relief on the costs of travel, parking, food & drink and overnight expenses if you have to travel for work.
If you employer gives you money towards your costs, you must reduce the amount you claim tax relief on by the amount of money your employer gives you.
In most cases you can claim tax relief on the full cost of substantial equipment, for example a computer, you have to buy to do your work.
What About If I Need to be a Member of a Professional Body?
You can claim tax relief on:
• professional membership fees, if you must pay the fees to be able to do your job
• annual subscriptions you pay to approved professional bodies or learned societies if being a member of that body or society is relevant to your job
You cannot claim tax relief on life membership subscriptions, or for professional membership fees or annual subscriptions you:
• have not paid yourself (for example if your employer has paid for them)
• have paid to professional organisations that are not approved by HMRC
Ask a Moorgate Expert for Advice
The criteria for claiming tax back are many and varied and we’re here to help you clarify the finer details and make sure you get back what you are entitled to.
If you would like to speak to us about claiming back tax on your work related expenses or if you have a different kind of tax question that you’d like advice on, please do contact us.
A member of our expert tax team would be delighted to help you. We offer a free 30-minute consultation with a member of our team; face-to-face or online or by phone.