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Working at home VAT

Can I get utility bills VAT free if I work full-time at home, as an employee?

Comments

  • System
    System Posts: 178,412 Community Admin
    10,000 Posts Photogenic Name Dropper
    Short answer - No
    This is a system account and does not represent a real person. To contact the Forum Team email forumteam@moneysavingexpert.com
  • Lube
    Lube Posts: 1,495 Forumite
    Surely if you work at home as an employee your employer should help. Utility bills is only 5% so thats around £50-£60 per annum base on £1,100 - £1,200 bill
  • JasonLVC
    JasonLVC Posts: 16,762 Forumite
    Part of the Furniture Combo Breaker
    Can I get utility bills VAT free if I work full-time at home, as an employee?

    Utilities can never be sold VAT free in law, only 5% (domestic) or 20% (commercial).

    You could reclaim an element of the VAT if you were self-employed/working for yourself, VAT registrered and operating from home, but only a proportion of that VAT, not all of it.

    If you have a formal home working agreement with your employer they should provide you with an additional payment of £3.00 per week. If they do not do that, you can claim the equivalent £3.00 per week amount as a tax allowance/deduction by writing to HMRC who'll adjust your tax code accordingly.

    http://www.direct.gov.uk/en/MoneyTaxAndBenefits/Taxes/BeginnersGuideToTax/IncomeTax/Taxallowancesandreliefs/DG_078386
    Anger ruins joy, it steals the goodness of my mind. Forces me to say terrible things. Overcoming anger brings peace of mind, a mind without regret. If I overcome anger, I will be delightful and loved by everyone.
  • Isn't it about time the £3 a week figure was revised? That covers the light going on a couple of times now a days, the figure is ridiculously low.
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