HM Revenue and Customs (HMRC) revealed that since April, nearly 800,000 employees who have been working from home during the pandemic claimed tax relief on eligible household costs.
For these individuals, their saving is worth up to £125 per annum.
Eligible employees can claim a year’s entitlement if their employer has told them to work from home – even if it has been for one day during the tax year.
If an employee has returned to working in an office since the start of April or is preparing to return, they can still claim the tax relief and benefit from the full year’s relief for 2021-22.
Unsure how to claim this tax relief?
Luckily the process is quick and easy and is done through HMRC’s online portal.
Employees just need to apply themselves to receive the tax relief. Once their application is approved, their tax code is automatically adjusted for the 2021-22 tax year and will receive the tax relief directly through their salary.
Please note, agents cannot use the online portal to apply on their client’s behalf.
For more information or advice on matters relating to payroll, please contact us today.