Tax deduction for professional membership fees?

Nick_A_3

Am I correct in thinking that I can deduct tax for professional membership fees? Or am I talking rubbish??

I belong to four learned societies as part of my job, and pay the membership fees (£50-100 each) out of my own pocket. Can I deduct this from my income tax bill? If so how? My income tax is deducted by my employer - I don't complete a tax assessment form.

If this is possible, can I make a retrospective claim? I have been a member of various societies for over 15 years but haven't got round to this before.

Thanks!

Toni_Tax

The normal way to claim the deduction is to have it put in your tax code.

Write to your tax office and tell them you would like to claim a refund for the last six tax years on subscriptions paid and list what you have paid out over that time. Also ask them to amend your tax code to include what subscriptions you are currently paying in order to get the relief in future.

Pennywise

Nick_A wrote: »

Can I deduct this from my income tax bill?

No, but you can get tax relief on your payments if they are relevant and required by your job and they are on HMRC's approved list - http://www.hmrc.gov.uk/list3/list3.pdf

If you pay tax at 22%, you will get a tax relief/refund of 22p for every £1 you pay to such bodies.

Write to your HMRC tax office, tell them what you have paid, and who to, for the last six years, to claim a refund for the past and get an allowance included in your tax code for the future.

Nick_A_3

Pennywise wrote: »

No, but you can get tax relief on your payments if they are relevant and required by your job and they are on HMRC's approved list - http://www.hmrc.gov.uk/list3/list3.pdf

Thanks very much. 3 out of the 4 Societies to which I belong are listed, so hopefully I will be able to claim tax relief on my membership. I assume that I will need to provide written confirmation of my membership fees from the societies concerned, but in the mean time I will contact HMRC.

nollag2006

Nick_A wrote: »

Thanks very much. 3 out of the 4 Societies to which I belong are listed, so hopefully I will be able to claim tax relief on my membership. I assume that I will need to provide written confirmation of my membership fees from the societies concerned, but in the mean time I will contact HMRC.

The societies should be happy to provide you with such a statement, if you give them a quick call.

I rang CIMA last year to ask for this evidence, and they sent out a statement within 2 or 3 days

newby_accountant

i have a similar question in relation to professional subscriptions. I have recently joined a professional institute and had to pay a one off admission fee as well as the annual subscription fee.

I understand a tax deduction i available for the annual subscription but can i also get a tax deduction for the one off membership fee? I was told that I cant but dont understand why not!

Also is the annual subscription and one off joining fee deductible for corporation tax purposes?

Any help would be appreciated!!

laurel7172

It's the distinction between tax relief on training for the job you're in (allowed) and training for a new career (not allowed). Your membership fee is part of your training expenses for your new career as a qualified accountant. Until you've paid it, you're not a qualified accountant, ergo, when you pay it, it's an expense for a career you aren't in yet.

No reason why the fees couldn't be paid by a company. They would need to be declared as a benefit in kind, though, and possibly grossed up for NI purposes.