Back in December I did a Blog about how to make your claim http://stevejbicknell.com/2011/12/20/how-to-claim-tax-relief-for-employment-expenses/
But many employees don’t seem to realise that they could be entitled to Flat Rate Expenses
If you have to spend money on tools or specialist clothing for your job you may be entitled to either:
- tax relief for the actual amounts you spend
- a flat rate deduction
Flat rate deductions are amounts that HM Revenue & Customs agreed nationally – or sometimes locally if conditions are very different – with trade unions or other bodies.
The deductions cover what’s typically spent each year by employees in different trades. For example, someone working in the clothing industry can get a deduction of £60 each year. A cabinet maker can get a deduction for £140 while the deduction for a stone mason is £120.
You don’t have to be a member of a trade union to get the deduction. You’ll also benefit from less paperwork – you won’t have to keep a record of all the individual amounts you spend.
There is a full list of the Flat Rates at
For example, I am the FD of SCA Group, we employ Scaffolders and the rate for Scaffolders is £140 per year, at 20% tax that means £28 as a tax refund.
There are only a few days left to file Self Assessments for the tax year that ended on 5th April 2011 and we are rapidly approaching the end of another tax year, so have you paid too much tax? the chances are many people haven’t paid the right tax because their tax code was wrong.
Why not start by checking your tax with the HMRC Tax Checker
Checking your tax code
You’ll find your tax code on:
- your pay slip
- your PAYE Coding Notice – you usually get this a couple of months before the start of the tax year and you may also get one if something has changed but not everyone needs to get one
- form P60 – you get this at the end of each tax year
- form P45 – you get this when you leave a job
If you’re enrolled for Self Assessment Online, you can view PAYE Coding Notices issued on or after 11 October 2011 online.
If your tax code is wrong
You must tell HM Revenue & Customs (HMRC) as soon as possible so they can correct it. You may get some tax back – or you might have to pay a bit more.
HMRC will need to know your tax reference and National Insurance number. Look for these numbers on official papers to do with tax, for example:
- a payslip
- letters from HMRC
- a certificate of tax paid
- a ‘PAYE Coding Notice’ if you have one – this is a notice telling you what your tax code is
Previously Reported Tax Code Errors
Tax code errors could cost a ‘huge number of people’ over £1,000 a year, financial group warns
Don’t pay the wrong tax, check it now and get it sorted.