Work Wear Tax Relief

There’s many type of employment opportunities in the UK that may require one to purchase their own clothing and maintain it, solely for use in their work life. These small costs add up over time, and can be a burden to the worker. So, did you know that you can write off these expenses on your taxes? These small yearly fees can be given back to you through your taxes in a process known as Uniform Tax Rebate.

There are two ways of going about categorizing this rebate dependent on the type of industry you work in. The first is claiming the expense as a flat rate expense allowance (FREA), meaning there’s no documentation required besides claiming your uniform maintenance cost which will give you a standard £60 back. This claim means that if you’re a basic-rate tax payer you would be receiving 20% of £60 (£12) or as a higher rated tax payer 40% of £60 (£24). Claiming a FREA tax rebate is the simplest procedure, however if you’re working in an industry wear maintenance costs can be higher there is a second option, claim uniform tax rebate from various websites.

Occupations exist where the FREA is increased to as high as £140, meaning lower rate taxpayers receive £28 and a higher rated taxpayer would receive £56 if their job falls into one of the categories located on the HMRC website. There is a large number of jobs located underneath these headings so be sure to check to ensure your highest possible rebate.

When you first claim your rebate, you may claim up to four years including the current year on your rebate as long as you have been wearing your uniform during this entire period. This rebate encompasses a very large amount of careers from a simple branded t-shirt, airline employees, Doctors, Police Officers, and many more anything that requires you to take care of your own uniform is included. However, you may not claim the original cost of the uniform, just the maintenance, and if you’ve already claimed yourself in a uniform job your tax code should be reflecting this meaning your taxes have been lowered the appropriate amount already.

Claiming Uniform Tax Rebate from HMRC

SimpleTaxRebate say that Uniform Tax Rebate can be claimed in one of two ways. The first is probably the easiest as long as you are comfortable entering personal information online by signing into the tax.service.gov.uk site and going to the tax relief for expenses of employment page, also known as the P87, and filling in the form available there. You can then make the choice of printing out the filled out P87, being sure to include your Employer’s name and address, your occupations, job title, industry sector, your NIN, PAYE reference, the rate you’ll be claiming, and how you want to be paid either bank transfer or check. After completing this process you will receive a letter from HMRC detailing your entitlements and when your money will be sent to you.

While filling in the P87 make note of other expenses you may be claiming, the P87 encompasses a broad selection of different employment expenses that may be written off on your taxes. For instance, if your job requires you to pay out of pocket for registrations and certifications, you can write these off on the P87. Jobs that require overseas travel wherein you must purchase a visa and vaccines can be written off as well as Union dues and any subscriptions to groups that are required to do your job aptly. If your employer requires you to pay out of pocket for expenses, and you are not reimbursed, there is a good chance you can write this off in the same form as your Uniform Tax Rebate.

Sometimes issues arise in the tax code and it will not be updated, so it’s worth checking the following year of your first P87 form. A phone call and one more form is needed if your tax code has not been updated and you’re claiming expenses less than £1000. The number is 0300 200 3300 for who is open Monday through Friday 8 AM to 8 PM and Saturdays 8 AM to 4 PM. This is the HMRC quick tax rebate hotline and will most likely be followed by the sending of a P810 Tax Review form, which rechecks all the information you have given them to ensure your tax code is correct. If you’re in a scenario where it’s over £1000 or you have switched jobs partway through the tax year more forms will be required.

Another important tax rebate to make note of while filling out the P87, besides the Uniform Tax Rebate, is the AMAP (Authorized Mileage Allowance Payments) relief. This relief is formed employees that must drive their own vehicles for business and helps cover the costs of gas and wear and tear put on your vehicle throughout the year. You will be given a different rebate for the first 10,000 miles and any miles after 10,000 so it is important to be accurate with this information. The best way to ensure accurate mileage records for business travel, and remember this does not include mileage to and from form just mileage incurred as part of your job, is to use a GPS app that can track your miles during business hours and use this information on your P87 form.

One word of caution when filling in these P87 forms, ensure accuracy. If the HMRC finds your information to be inaccurate you will be charged fines and interest based on the amount of the refund and can lead to even more costs expended to you. However, if you are using equipment, tools, uniforms, your vehicles, or any other expenditures purely for the purpose of work they can be related to you and help relieve that extra burden you must carry as a tax paying worker who is responsible for their own equipment. The Work Wear Tax Reliefs, Uniform Tax Rebates, and the rest available in the P87 form are a tool to be used by any savvy employer to gain an advantage in their taxes every year.