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Daily Mirror
Daily Mirror
Business
Ruby Flanagan

Thousands of workers can get £125 back from HMRC - how you can claim

Thousands of workers in the UK can claim tax money back from HMRC if they have "work-related expenses".

These are things you have to pay for, for your job - and include things such as uniforms, tools, travel and working from home costs.

More than 800,000 taxpayers claimed tax refunds for work expenses during the 2021 to 2022 tax year.

The average payout from HMRC that year was £125.

HMRC warns that around 70% of those who claimed didn't get the full payout.

This is because they used a tax agent to make their claims rather than claiming directly from HMRC - agents or companies that offer this service usually take a chunk of your return as payment for their work.

In some cases, it can be up to 50% of your tax return.

If you claim the tax back through HMRC then you will receive 100% of the payment.

You are able to claim back the tax money directly through HMRC's online portal on GOV.UK - you will need to Government Gateway account to make your claim.

The tax authority says the process is "straightforward" and only takes around 15 minutes to do.

Taxpayers can also use its tool to check their eligibility and the work expenses they can claim for.

According to HMRC, you might be able to claim tax relief if:

  • you use your own money for things that you must buy for your job
  • you only use these things for your work

And things you can claim tax relief on can include:

  • uniforms and work clothing
  • buying work-related equipment
  • professional fees, union memberships, and subscriptions
  • using their own vehicle for work travel - does not include your journey from home to work

For some claims, you must keep records of what you’ve spent.

To get the cashback, you must also have paid tax in the year you’re claiming for and you’ll get tax relief based on what you’ve spent and the rate at which you pay tax.

If it is for the current tax year, they may simply adjust your tax code so you pay less tax.

You can claim for this tax year and the 4 previous tax years - if your claim is for a previous year HMRC will likely send you a refund, although they also can adjust your tax code.

Victoria Atkins, financial secretary to the Treasury said: "Nobody should miss out on the full claim of a tax rebate – and by going straight to HMRC people can avoid being left out of pocket because of unscrupulous repayments agents.

"Thanks to our Spring Budget reforms if someone no longer wants an agent involved in their claim, they’ll be able to cancel it so any future rebates will go to the taxpayer in full."

You can find out exactly how to claim tax relief on GOV.UK here.

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