Tax relief: P87 or Self Assessment?

Jose_Ferraro

Hello,

I work full time for the NHS which is my main income and also have a second job as a sole trader. I would like to claim tax relief but the HMRC website isn't clear which form I should use. Could I use the p87 to claim tax relief from my main income (which I assume I can do any time of the tax year) and then a self assessment form for the end of the tax year when I am declaring my sole trader income? Or should I use just the one form for both incomes?

Thanks

BoGoF

Depends what it is you want to claim tax relief on in respect of your NHS job.

Jose_Ferraro

My NHS work related expenses are:
- Uniform, items which are replaced yearly
as well as cost of laundry / maintenance
- Trainers
- Medical equipment (stethoscopes / replacement parts and batteries)
- Obligatory subscription to national bodies of which I am a member of two
- I cycle to work (not sure if bike maintenance costs are applicable)

BoGoF

NHS employees have an agreed flat rate expense for uniform/footwear. This can be claimed in a letter and your tax code adjusted.

Professional subscriptions can be claimed in a letter and your tax code adjusted.

If your cycling is to a permanrnt place of employment then it is not allowable.

unholyangel

Jose_Ferraro wrote: »

My NHS work related expenses are:
- Uniform, items which are replaced yearly
as well as cost of laundry / maintenance
- Trainers
- Medical equipment (stethoscopes / replacement parts and batteries)
- Obligatory subscription to national bodies of which I am a member of two
- I cycle to work (not sure if bike maintenance costs are applicable)

Just to add, the flat rate expenses is only allowable if the employer does not provide laundry facilities or pays a laundry allowance and the exact amount is determined by what job you do. I mention this as some trusts do provide laundry facilities.

I would also add that generally, in order for any expense to be considered for tax relief, it would need to be an expense necessarily incurred by the employment. That is, that anyone doing that type of job would incur the same cost and there is no choice in the matter. If you have a choice then no relief is due.

MDMD

unholyangel wrote: »

Just to add, the flat rate expenses is only allowable if the employer does not provide laundry facilities or pays a laundry allowance and the exact amount is determined by what job you do. I mention this as some trusts do provide laundry facilities.

I would also add that generally, in order for any expense to be considered for tax relief, it would need to be an expense necessarily incurred by the employment. That is, that anyone doing that type of job would incur the same cost and there is no choice in the matter. If you have a choice then no relief is due.

It needs to be “wholly, necessarily and exclusively” incurred in the performance of your duties. So I would suggest that the trainers wouldn’t qualify as you can use them for other non work purposes (even if you didn’t use them, the fact that you can disqualifies them for relief)

https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim31660

unholyangel

MDMD wrote: »

It needs to be “wholly, necessarily and exclusively” incurred in the performance of your duties. So I would suggest that the trainers wouldn’t qualify as you can use them for other non work purposes (even if you didn’t use them, the fact that you can disqualifies them for relief)

https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim31660

I think you've misread or misunderstood my post. I wasn't saying the trainers would qualify - quite the opposite. Trainers would be covered by the choice part. That is its necessary to the job role, not the individual (whether for comfort reasons or otherwise).

Jose_Ferraro

Thanks for the replies.

My trainers I do use solely for work purposes. They are totally black and are part of my uniform. Due to being active in the job I do need trainers instead of shoes. I never wear them outside work.

Also they do get dirty fairly frequently (as you can imagine in a hospital environment) so I do need to wash them as required throughout the year. This does wear them out and I find I need a new pair every year. Should I explain this in the letter or as a supporting letter should I use a P87?

BoGoF

Ordinary clothing is not an allowable expense so you can't claim the cost of trainers. Many people buy clothing solely for work use, they can't claim tax relief for it.

00ec25

Jose_Ferraro wrote: »

Thanks for the replies.

My trainers I do use solely for work purposes. They are totally black and are part of my uniform. Due to being active in the job I do need trainers instead of shoes. I never wear them outside work.

Also they do get dirty fairly frequently (as you can imagine in a hospital environment) so I do need to wash them as required throughout the year. This does wear them out and I find I need a new pair every year. Should I explain this in the letter or as a supporting letter should I use a P87?

you will be wasting your time and cost of postage

the only form of footwear that gets tax relief is a Safety BOOT
- safety: steel toe cap meeting the crush resistance test
- boot: a boot is not a shoe (or a trainer). There is a test of what makes a boot and a trainer would fail it

the only exception is for nurses & midwives

sheramber

You can claim tax relief on expenses for:

small tools
protective clothing needed for your work
uniforms

You cannot claim tax relief for everyday clothing, even if you wear it for work
(my bold)
https://www.gov.uk/guidance/job-expenses-for-uniforms-work-clothing-and-tools#what-you-can-claim-tax-relief-on