Workers can get money if they are ‘pinged’ by the NHS Covid app and cannot get to their workplace.
Anyone who has been told to self-isolate by NHS Test and Trace, or who self-isolates after being interviewed by the NHS app can make a complaint, Lewis explained.
In his Money Saving Expert newsletter, Martin said HMRC confirmed to him that claims can be made under these circumstances – not just when your employer tells you to work from home.
The rules of the scheme state that anyone forced to work from home by their employer can claim a tax refund of up to £ 125 per year.
The money is intended to help cover expenses related to working from home, such as higher energy bills due to being home during the day.
HMRC also confirmed to The Sun that if employees work from home because they have to self-isolate, they can claim the tax deduction.
It extends the scheme to workers who have no choice but to work from home, but who have not been explicitly informed by their employer.
This comes as a record number of workers are “pinged” by the Covid application and forced to self-isolate.
Pubs, shops and restaurants have had to close due to understaffing caused by the so-called “pingdemia”.
Postal services and meat supplies are also threatened.
Millions of Britons working from home can claim up to £ 125 a year to cover their expenses when working from home.
How do I claim a tax refund when I work from home?
Tax refund claims can be made by anyone who pays taxes and has to work from home – even if it’s only for a single day – and it’s worth £ 125 per year.
Claims can also be made for the previous tax year, worth up to £ 125 as well, so anyone who is eligible for both years and has not yet claimed can get £ 250 .
HMRC will actually accept backdated claims for up to four years, meaning you could claim up to £ 500 in total.
As part of the scheme, your tax code is adjusted so that you don’t pay as much tax.
Claims for last year and previous years are paid as a lump sum in your salary.
The government has created a handy online tool to help you recover tax on work at home.
The online service is easy to use and only takes a few minutes to make a claim.
Who can claim a tax refund when working from home?
If you worked from home even for a single day, you can claim the tax refund.
Your employer must have required it, or asked you to work from home before you can apply.
And now if you’re nuts and need to self-isolate, you can claim too.
You cannot make a claim if it is something you have decided for yourself.
To be eligible, you must also have seen your household expenses increase due to working from home.
This could be because you turned on the lights or the heating more because you were indoors longer, or you used the internet more than usual.
In general, invoices will count as an increase in costs because if you were at work in the office you would not have used them regularly.
But you won’t be able to claim the tax refund if your employer already covers your working-from-home expenses.
You also cannot claim if you are self-employed – since you work for yourself, you can report the expenses on your tax return.
How much tax can I claim when working from home?
Your employer may actually pay you an additional £ 6 per week tax free to cover expenses.
But with many businesses struggling right now, you’re more likely to claim tax break on that £ 6 per week instead.
If you are claiming the tax break, the exact reduction in your tax bill depends on your tax rate and the highest tax rate you pay is used.
For those paying the standard 20% tax rate, you’ll get a tax break of £ 1.20 per week.
Whereas for people paying taxes at the higher rate of 40% you would get £ 2.40 per week.
Additional rate taxpayers who pay 45% will receive £ 2.70 per week.
So claim for the whole fiscal year, that’s a tax break of £ 62.40 for base rate taxpayers, £ 124.80 for higher rate taxpayers and £ 140.40 for taxpayers at additional rate.
How do I submit my work-from-home tax refund claim?
HMRC has an online tool to help you submit an application for the current tax year and previous years.
Once the request is approved and processed, your tax code for tax year 2021 to 2022 will be adjusted automatically.
You will then see the tax relief directly through your salary and will continue to receive the adjustment until April 5, 2022.
You won’t get a one-time payment when claiming for that year, but it will be included in your weekly or monthly payments from your employer.
But for claims from last year and previous years, you will receive the money as a lump sum through your paycheck.
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