Money Moral Dilemma: Should I claim tax back while working from home due to coronavirus?

unholyangel

Be aware, you are only entitled to tax relief for this if you are required by your contract of employment to work from home on a regular basis. If it is occasional or under informal arrangements, there is no entitlement to tax relief. 

https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim32760

mrpunk50

I personally will be allowing the government to keep my entitlement of £1 a week, so that I can feel I've saved the day for jolly old Blighty and helped this caring Tory government pinch their pennies. We're all in this big society together, as David ("call me Dave") Cameron would have said. Except for the billionaires of course, since they don't have to pay tax anyway.

HJB123_2

Gonna-be-debt-free said:

That's quite an interesting question.  
Years ago I stopped working as a contractor and switched to doing the same role as an employee, primarily because I was uncomfortable with the minimal taxes paid by contractors.  However, I have always claimed the tax relief for "use of home as office".  So on the one hand I want to pay equitably into the system, but on the other I still want to claim that to which I am entitled.
On balance, I think I would claim it.

Contractors only pay minimal tax if they choose to pay themselves in a certain way. If this is something you did then it was your choice alone. Please stop tarring all contractors with the same brush, there are many who pay themselves fair wages and taxes both inside and outside IR35.

dippy3103

Hopefully it will only be for a few more weeks, and I assume the allowance will be only for the weeks working from home. I am not paying to commute, so going to leave it at that. 

Besides, I will have forgotten by next April!

Double010

Of course you shouldn't claim it , whatever the amount . Why rip off the government , and taxpayers , particularly at a time of national emergency.

Gonna-be-debt-free

HJB123_2 said:

Gonna-be-debt-free said:

That's quite an interesting question.  
Years ago I stopped working as a contractor and switched to doing the same role as an employee, primarily because I was uncomfortable with the minimal taxes paid by contractors.  However, I have always claimed the tax relief for "use of home as office".  So on the one hand I want to pay equitably into the system, but on the other I still want to claim that to which I am entitled.
On balance, I think I would claim it.

Contractors only pay minimal tax if they choose to pay themselves in a certain way. If this is something you did then it was your choice alone. Please stop tarring all contractors with the same brush, there are many who pay themselves fair wages and taxes both inside and outside IR35.

I respectfully disagree, however to be clear I am not laying the blame on the contractors, but rather on the market.  Companies that engage contracts do so on comparable rates under the assumption that all the contractors are undertaking similar tax arrangements. If as a contractor I had chosen to take all income as salary rather than dividends then my net would have been significantly less than someone else under the same day-rate.  It is market driven and not simply the choice of the contractor. 

meknowalot-51

For such a small amount is it worth it,plus the stress it's causing you now,i would say let it go.A lot would say,your entitled to it so claim for it,these things are not so straight forward.

    Wife and me both 60's and in 12 week isolation(at least),applied on gov.com for being registered as vulnerable to help get online shopping deliveries from major stores.Started to recieve food parcels from gov. then managed to register with stores for home delivery.I am going to cancel the food parcels but the wife says we should keep having them as we're entitled.I say we can manage without and let the more needy have the parcels,today i am cancelling  and we will have further discusions on monday when no parcel turns up.Everybody's personal situation will vary so do what your personally comfortable with.

REJP

If you claim the money, put it in a bank account, because at some time in the future, when this crisis is over, the Government will probably have to increase taxes to pay back the loans it is currently drawing to make these payments to businesses and workers.  Then when your tax goes up to pay the Government loans back to the lenders, you will simply give back what they gave you.  No such thing as a free lunch I believe.   All this money will be recovered to balance the budget at some time in the future.  So put it in the highest interest rate savings account you can find (good luck with that by the way), it will ease the pain in your wallet when the time comes to pay back.

pjran

We’re just grateful that my husband can work mainly from home on full pay. We’re not going to claim the allowance and get his tax code changed. I think the tax office is far too busy to claim for such a small benefit. Be kind and think of others who need benefits and don’t just claim for such a paltry amount.

geoffpfc

I work for one of the largest energy companies in the UK and whilst I agree with not claiming the tax relief, my employer has  not offered any financial support and I'm having to use my own computer etc. There are some in the company who say they don't have a suitable computer and they're getting the same pay as me and keep posting how much they're enjoying the sunny weather with photos showing them sitting in the garden drinking wine!  I'm in a virtual shoe cupboard staring a a blank wall, who's the mug?