If you’ve been working from home since the COVID-19 pandemic, you may be eligible to claim tax relief on your expenses. The government offers a flat rate of £6 per week, which is available to all employees who work from home for at least one day during the tax year because it’s required by your employer. You can only claim for things to do with your work, for example, business phone calls or gas and electricity specifically for your work area. You can’t claim for things that you use for both private and business use, like your broadband.
Can I claim?
Employees can apply directly for tax relief for working from home via GOV.UK for free. If you use the online service, you’ll need to create a Government Gateway account (if you don’t already have one) and give basic information about your employment. You’ll also need to provide evidence of your working from home expenses, such as receipts or bills. You can claim through your self-assessment tax return, online or by filling in a P87 form.
Not everyone who works from home is eligible to claim tax relief. To be eligible, you must meet certain criteria, including;
- You must have been required to work from home by your employer if they don’t have a place of work, such as an office.
- You must have incurred additional household costs as a result of working from home.
- You must not be receiving expenses directly from your employer to cover the extra costs of working from home.
The deadline for claiming the tax relief for working from home is 31 January, following the end of the tax year. For example, the deadline for claiming tax relief for the 2022/23 tax year is 31 January 2024.
How to claim
The steps to claim the working from home tax relief in the UK are:
- Check if you’re eligible. You’re eligible to claim if you work from home at least part of the time and are not self-employed.
- Calculate your expenses. Don’t forget you can claim for expenses you incur as a result of working from home but not for things that you use for both personal and private use. So business calls – yes, Netflix – no.
- Keep evidence of your expenses. Keep all receipts or bills to support your claim.
- Claim online or through your self-assessment tax return. You can use the HMRC online service or submit your claim through your self-assessment tax return.
Claiming tax relief for working from home helps you save money on your tax bill. If you’re eligible, make sure you claim what you’re owed. If you’re unsure of whether you’re eligible or what expenses you can claim for, or any other tax-related query, we’re always here to help.