• Professional membership fees, if they must pay the fees in order to be able to complete their job • Annual subscriptions they pay to approved professional bodies or learned societies, if being a member of that body or society is relevant to their job
Tax relief cannot be claimed in relation to life membership subscriptions, or for professional membership fees or annual subscriptions if individuals have:
• Not paid themselves (e.g., if their employer has paid for them) • Paid to professional organisations that have not been approved by HMRC
An individual’s organisation can notify them of how much tax they are allowed to claim back.
There is guidance on checking if an individual can get a rax relief and making a claim online.
If an organisation is shown on the list, then an individual can get tax relief by either:
Making a claim by post on a form P87
•
• Entering the amount to claim in box 19 of the SA102 page if they need to submit a Self-Assessment tax return
Professional organisations can complete form P356 to apply to be added to the approved list for fees and subscriptions.
Back to Contents
Claim tax relief for working from home 24 February 2021
To combat the spread of coronavirus, the Government stated that, where employees are able to work from home, they should do so. Individuals working from home on a regular basis, for all or part of their working week, may be able to claim tax relief on additional household costs.
Tax relief cannot be claimed where an individual actively chooses to work from home.
Additional costs could potentially include:
Heating
• • • • •
Metered water bills
Home contents insurance
Business calls
A new broadband connection
They do not, however, extend to costs that would remain unchanged regardless of whether a person was working at home or in an office. Examples include rent or council tax.
There may be the possibility of claiming tax relief on equipment that an individual has purchased, such as a laptop or a chair.
Tax relief can be claimed on either:
• £6 a week from 6 April 2020 (in previous tax years, the rate was £4 a week) – no evidence is required in relation to these additional costs • The exact amount of extra costs above the weekly amount – evidence for this is required
Tax relief is offered at the rate at which a person pays tax. If someone pays the basic rate of tax of 20%, for example, and claims tax relief on £6 a week, they would receive £1.20 per week in tax relief.
CIPP comment
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
Page 335 of 590
Made with FlippingBook - Online magazine maker