john_p_b
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posted on 2/11/16 at 07:32 AM |
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tax relief on tools bought for work
anyone claimed tax relief on tools they've bought for work? the snap on dealer was telling me about it a couple of weeks back how you can claim
on stuff bought in the last 4 years, typically there are agencies that will do it for 20% of what ever is claimed back but i'd rather do it
myself if poss, got invoices totalling 3-4k sat in the top drawer of my toolbox.
any help much appreciated.
built a car, built a home, had a family. lost the family, lost the home, still got the car.
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loggyboy
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posted on 2/11/16 at 07:44 AM |
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Are you PAYE?
Mistral Motorsport
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daniel mason
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posted on 2/11/16 at 07:46 AM |
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I'm a limited company and get tax relief on all tools. Every little helps I say!
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nick205
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posted on 2/11/16 at 08:53 AM |
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I've not done it myself as I don't have to buy my own tools for work. A quick Google search throws up the links below and seems to
suggest you can though. One thread looks as though it may be done via a self-assessment tax return. These are not much fun to have to do, but you
may already be doing one - particularly if you're self employed or a company owner.
https://www.toolstaxrebate.co.uk/
https://www.taxrebateservices.co.uk/tax-refund-calculators
/tool-tax-refund-calculator/
http://forums.moneysavingexpert.com/showthread.php?t=379752
One other element that occurs to me is that if you're self-employed or a company owner you may already have an accountant. For my money any
good accountant should be able to advise you on the process and guide you on how to progress it. Like you I'm a fan of doing it myself (rather
than paying for it) if possible.
I hope it works for you and it would be interesting to know how you get on! There must be others on here either already doing this or who could
benefit from the knowledge of how to do it.
Best of luck
ETA...reading the MSE thread a little more it mentions...
1. Write to HMRC asking for help. Probably good advice. HMRC can be hard work, but are the governing factor and will be able to tell you the process
for claiming.
2. The possibility of claiming tax relief on "replacement" tools, but not "first time" tools. This seems odd to me, but then
some rules aren't as simple as you'd want them to be. Worth checking this and not giving away too much information too early.
[Edited on 2/11/16 by nick205]
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john_p_b
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posted on 2/11/16 at 09:09 AM |
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thanks for the replies, i'm a regular technician employed to do a job and paid weekly so never even seen a tax form never mind filled one out!
my girlfriends mum is an accountant though so might talk to her next time we meet.
built a car, built a home, had a family. lost the family, lost the home, still got the car.
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loggyboy
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posted on 2/11/16 at 09:31 AM |
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You would need to have a willing payroll officer to run the figures through the PAYE system which reduce your contributions accordingly. They should
do it without argument, but IME most cant be arsed as its more work for them.
Mistral Motorsport
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Ugg10
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posted on 2/11/16 at 09:46 AM |
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Just a thought (no responsibility claimed here), does this come under the P87 form for PAYE employees as effectively this is a work expense that you
are being asked to pay for. The form is predominantly for travel expenses but there is a section for "other expenses", I think you can
also claim retrospectively for prior years, not sure how long ago though but looks like 4 on the link below. Be careful of the £2500 claim limit
because if you go over this you are into self assessment territory (you get back the tax on the amount claimed). Again be careful if this is a one off
claim as HMRC will assume it is an annual amount and will adjust your tax code accordingly for the next year (you get more in your pay packet), if you
do not claim they will then readjust for the next year (you will receive less), this can yo-yo for a few years.
https://www.gov.uk/government/publications/income-tax-tax-relief-for-expenses-of-employment-p87
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Build Blog - http://Anglia1968.weebly.com
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avagolen
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posted on 2/11/16 at 11:27 AM |
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Hi,
From personal experience, I get tax relief on £100 of tools through PAYE - may be a little more now, but that is what it was the last time I did a
return.
As you know, 20% is only £20 pounds. As it only effects my tax code and I do not really notice it.
HTH.
The Answer for everything, but never the last word....
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