Work From Home Tax Relief

How To Claim Work From Home Tax Relief

So many of us have had to start working from home. Whether we’re doing it for the foreseeable from a home office or maybe just had a couple of days of doing it during lockdown, the way a lot of people are working has changed. With more laptops being plugged in and the heating needing to be on more with winter on the way, household bills will be increasing. Fear not! You can claim the work from home tax relief which will help give you a little something back!

Who Can Claim Work From Home Tax Relief?

Anyone who has been asked by their employer to work from home, can claim the tax relief. If you choose to work from home instead of being asked, you are not eligible for the tax relief. It can be for anyone, full time or part time. If your employer has already given you an allowance for working from home, this tax relief is also not for you. However, if, like a lot of people, you’ve simply been asked to do your job from the comfort of your own home due to the pandemic, you can fill in your form and get the cut benefits. HMRC also confirmed that it doesn’t matter how many days you have worked from home, you can claim for the entire year!

Work From Home Tax Relief

How Much Tax Relief Will You Get?

How much you’ll get in work from home tax relief depends on the tax you usually pay. For a basic 20% tax payer, you’ll receive £62.40 in work from home tax relief. You won’t receive actual cold hard cash. Your tax code will simply change and you’ll be charged less tax from your salary. If there are two of you, for example you and your partner, working from home, that’s over £120 of tax relief. Not to be sniffed at! You can maybe use it to treat the kids as you’ll be seeing them a lot more when you work from home.

How Do I Apply?

You’ll need to fill in the P87 form which you can print off and post in. It’s easier and much quicker to do it online though. Some people are saying they are doing it in less than five minutes. Over £60 extra in your bank account for 5 minutes work. That would be almost £750 an hour! Almost as much as the track and trace people are getting! You’ll have to answer a few simple questions to start with and have a government gateway account but it’s so easy to do.

What are you waiting for? You could get yourself over £60 by the time that ad break on the TV has finished playing. Will you use it to boost your bank account? Give it to charity? Put it away for a rainy day? What you do with that money is up to do. Just make sure you claim it. Go go go!

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