Working from home tax relief

myeash

Am I correct in thinking because I do Self Assessment I can only claim WFH when I do my SA? That's what gov.uk seems to be saying to me! I started WFH on the 23rd March 2020 and was back in the office in September 2020 until December. I've been now WFH since 5th January and not sure when I'm going back. So, can I claim for anything now or do I wait until I do my SA for 20/21? I didn't claim or anything  in my SA19/20.

MattMattMattUK

myeash said:

Am I correct in thinking because I do Self Assessment I can only claim WFH when I do my SA? That's what gov.uk seems to be saying to me! I started WFH on the 23rd March 2020 and was back in the office in September 2020 until December. I've been now WFH since 5th January and not sure when I'm going back. So, can I claim for anything now or do I wait until I do my SA for 20/21? I didn't claim or anything  in my SA19/20.

You are correct that because you complete a self-assessment you need to claim via that. You can claim in the 20/21 tax year when you submit the self assessment, you can do this from 06/04/21 onwards. The allowance or permittable expenses would be deducted from any tax you owe as detailed in the online guidance. 

myeash

MattMattMattUK said:

myeash said:

Am I correct in thinking because I do Self Assessment I can only claim WFH when I do my SA? That's what gov.uk seems to be saying to me! I started WFH on the 23rd March 2020 and was back in the office in September 2020 until December. I've been now WFH since 5th January and not sure when I'm going back. So, can I claim for anything now or do I wait until I do my SA for 20/21? I didn't claim or anything  in my SA19/20.

You are correct that because you complete a self-assessment you need to claim via that. You can claim in the 20/21 tax year when you submit the self assessment, you can do this from 06/04/21 onwards. The allowance or permittable expenses would be deducted from any tax you owe as detailed in the online guidance. 

Thank you for replying. I saw Martin's update yesterday to his 12/4/20 article about making WFH claim by 5.4.21 so I thought perhaps I'd not done something I should have done by now! I think I have now understood it to be that he is suggesting to act now as the 'microservice' may not be available once this tax year ends, but that applies to those people who don't do SA. Am I right?

unholyangel

myeash said:

MattMattMattUK said:

myeash said:

Am I correct in thinking because I do Self Assessment I can only claim WFH when I do my SA? That's what gov.uk seems to be saying to me! I started WFH on the 23rd March 2020 and was back in the office in September 2020 until December. I've been now WFH since 5th January and not sure when I'm going back. So, can I claim for anything now or do I wait until I do my SA for 20/21? I didn't claim or anything  in my SA19/20.

You are correct that because you complete a self-assessment you need to claim via that. You can claim in the 20/21 tax year when you submit the self assessment, you can do this from 06/04/21 onwards. The allowance or permittable expenses would be deducted from any tax you owe as detailed in the online guidance. 

Thank you for replying. I saw Martin's update yesterday to his 12/4/20 article about making WFH claim by 5.4.21 so I thought perhaps I'd not done something I should have done by now! I think I have now understood it to be that he is suggesting to act now as the 'microservice' may not be available once this tax year ends, but that applies to those people who don't do SA. Am I right?

Martin is often wrong when giving details. 

The microservice was available prior to covid so I would expect it to be available after covid. However, what may not be available is WFH tax relief if you are WFH due to covid. HMRC haven't announced whether they'll allow claims in the 21-22 year yet for covid. But I also haven't seen anywhere HMRC say you need to claim by 05.04.21 - normally you have 4 years from the end of the tax year to claim. So I can't see anything to suggest you need to have actually made a claim for the 20-21 year by 5th April. 

unforeseen

WFH has nothing to do with Covid. If you do WFH then you can carry on claiming. HMRC don't need to say anything as it is a standard tax relief. I was claiming it long before Covid
It is the way that Martyn Lewis reported it that turned it into a Covid related benefit in the eyes of the general public. 

unholyangel

unforeseen said:

WFH has nothing to do with Covid. If you do WFH then you can carry on claiming. HMRC don't need to say anything as it is a standard tax relief. I was claiming it long before Covid
It is the way that Martyn Lewis reported it that turned it into a Covid related benefit in the eyes of the general public. 

Who said it was to do with covid? I might be reading wrong but I get the feeling you think I have with the "HMRC don't need to say anything" part of your post. 

unforeseen

unholyangel said:

unforeseen said:

WFH has nothing to do with Covid. If you do WFH then you can carry on claiming. HMRC don't need to say anything as it is a standard tax relief. I was claiming it long before Covid
It is the way that Martyn Lewis reported it that turned it into a Covid related benefit in the eyes of the general public. 

Who said it was to do with covid? I might be reading wrong but I get the feeling you think I have with the "HMRC don't need to say anything" part of your post. 

I was responding to

However, what may not be available is WFH tax relief if you are WFH due to covid. HMRC haven't announced whether they'll allow claims in the 21-22 year yet for covid.

The reason that you are WFH is immaterial as far as HMRC are concerned

sheramber

 You cannot claim if you choose to work from home .
You must be required to work from home.

unholyangel

unforeseen said:

unholyangel said:

unforeseen said:

WFH has nothing to do with Covid. If you do WFH then you can carry on claiming. HMRC don't need to say anything as it is a standard tax relief. I was claiming it long before Covid
It is the way that Martyn Lewis reported it that turned it into a Covid related benefit in the eyes of the general public. 

Who said it was to do with covid? I might be reading wrong but I get the feeling you think I have with the "HMRC don't need to say anything" part of your post. 

I was responding to

However, what may not be available is WFH tax relief if you are WFH due to covid. HMRC haven't announced whether they'll allow claims in the 21-22 year yet for covid.

The reason that you are WFH is immaterial as far as HMRC are concerned

Well if you're only WFH due to covid, you don't meet the "normal" eligibility criteria. Which is why HMRC had to relax them by:
 - allowing people to claim for a full year in recognition we might be in and out of lockdown, probably to save administration costs/extra work it would create at cost to other areas
- not to be under formal arrangements/not requiring your contract to identify home as a workplace
- accepting that facilities weren't available at your employers premises if their premises were closed or had to reduce staff numbers due to social distancing etc. 

I imagine that last hurdle would be impossible to get over, if you are just working from home due to covid. 

Plus, if it's immaterial....why do they ask during the application process:

Did you start working from home because of coronavirus (COVID-19)?

unforeseen

If employers are continuing to expect their employees to work from home in the new tax year, as mine is, then the tax relief is valid.
My company do not intend to re-assess the WFH policy until the final relaxation in June. 

unholyangel

unforeseen said:

If employers are continuing to expect their employees to work from home in the new tax year, as mine is, then the tax relief is valid.
My company do not intend to re-assess the WFH policy until the final relaxation in June. 

Your employer doesn't give you WFH tax relief though. Only HMRC can give that, and only HMRC can decide the rules on it. 

ETA: according to Martin, he's asked them if they'll continue it and they haven't answered him (he thinks they haven't decided yet).