Working From Home Tax Relief

Don’t miss out on the working from home tax relief

Still being asked to work from home? You can claim tax relief for this tax year AND backdate it for the previous two years!

Advanced Accountancy can explain how to claim this tax relief, take a look at who is eligible, and walk you through the process in more detail.

As we know, the last few years have seen a surge in the number of people who have and are still working from home. Due to this, millions of workers can claim the working from home tax relief worth up to £420, but HMRC has warned that the number of people who can claim it for the current tax year (2022/23) will drop as workers head back to the office.

If you have been asked to work from home, even if it is for just one day, you can still claim for the full tax year in question.

“The rules around the homeworking deduction, which have been in place for some years, have not changed. However, circumstantial changes (including an end to the legal requirement to work from home where possible) now mean many people will no longer be eligible to claim the deduction,” a spokesperson for HMRC said.

You have until 5 April 2025 to claim for the 2020/21 working from home tax relief and 5 April 2026 to claim for the tax year 2021/22.

We all know that the cost of living going up, so there has never been a better time to claim for the money you are owed.

Sounds good! How do I apply?

Unless you carry out a self-assessment, you can use HMRC’s dedicated online site to make your claim. If you are self employed the process is a little different.

Before you can proceed with your claim, you will be asked a number of questions to assess your eligibility.

You will need your Government Gateway user ID and password to hand. If you don’t have one, then you can create one in about 10 minutes, although you’ll need a few details such as your national insurance number and I.D such as a passport or drivers licence.

If you are self employed and you complete a self-assessment tax return, then you can’t use the same microservice, but you can still claim. 

When you complete your online tax return, fill in the ‘other expenses and capital allowances’ section in the employment part.

The amount you can claim will depend on your income.

Of course, if all of this sounds like a lot of hard work, you can always call Advanced Accountancy and we will do the hard work for you.

Sound good?  Call us today on 01384 271858 or e-mail us at [email protected].