Helping employees access tax relief

06 July 2016

‘Your employees may be able to claim tax relief if they have to use their own money, and you haven’t reimbursed them, for travel or things that they must buy for their job. For example:

  • cleaning, repairing or replacing specialist clothing, for example, a uniform or safety boots
  • travel and overnight expenses
  • professional fees and subscriptions paid to some approved professional organisations
  • business mileage, where an employee uses their own vehicle or fuel costs, if using a company car
  • repairing or replacing small tools

It’s free and easy to make a claim through HMRC. They just need to fill in a form P87.

If they have a Personal Tax Account your employee can access and send form P87 to HMRC online by opening the Pay As You Earn (PAYE) section, and clicking on ‘Tax relief for expenses of employment’.’

Alternatively employees can access a form P87 on GOV.UK.

If you utilise your payslips for the communication of important messages to your employees and you think that your employees could benefit from knowing about these reliefs have you considered letting them know with the following payslip message: “Looking to claim tax relief on work related purchases, mileage or cleaning uniforms? To use HMRC services for free, see www.gov.uk/tax-relief-for-employees