UK Employees who have been asked by their employer to work from home can claim up to £125.00 tax relief for the 2021 to 2022 tax year even if your employer only requested you work from home for one day. That means eligible employees who are returning to the office or or have already returned to the office can still apply apply for the tax relief.
HMRC Online Portal
800,000 employees have already applied to HMRC for the tac relief and you should too. Application is straight forward and can be done vie the HMRC Online Portal.
Once your submitted application has been approved, the tax relief will be applied via a change to your tax code will.
Back Dating your Working at Home Claim
If you where required to work at home in the 2020 / 2021, fear not, HMRC will accept back dated claims up to 4 years. The applicant will receive a lump sum for any successful back dated claims.
The tax free amount per week £6 for working from home
April 2020 the government set the maximum tax relief for working form home, without the need to provide a receipt at £6 per week.
How is £125 tax relieve calculated
If an employed worker is on the basic rate of tax of 20% and claims tax relief on £6 a week, they would receive £1.20 a week in tax relief i.e. 20% of £6 a week, towards the cost of their household bills. Higher rate taxpayers would receive £2.40 a week i.e. 40% of £6 a week. Over the year this means customers can reduce the tax they pay by £62.40 or £124.80 respectively.