Home office tax relief is one of those topics where bad advice spreads easily. Some people claim too little because they assume it is not worth bothering with; others assume they can write off half the house. The truth is more specific.
Employees and self-employed people are treated differently
The rules are not the same for everyone. Employees face tighter limits, while self-employed workers can often claim a wider share of home running costs when the work use is genuine.
- •Check which category you fall into before doing anything
- •Use HMRC guidance rather than social media shortcuts
- •Be realistic about exclusive or partial business use
Know what costs may count
Potentially relevant costs include heating, electricity, broadband, and a proportion of rent or mortgage interest for some self-employed workers. But personal use still matters.
- •Keep clear records of how you work from home
- •Do not exaggerate the business share of household costs
- •Use simplified expenses if that is easier and suitable
Claim properly and keep evidence
A small valid claim is much better than an aggressive one you cannot justify. Good records make tax time easier and reduce the risk of mistakes.
- •Save bills, statements, and calculations
- •Review claims each tax year rather than guessing
- •Ask an accountant if your setup is complex
Can all employees working from home claim tax relief?+
No. Eligibility depends on HMRC rules and why you are required to work from home.
Should self-employed people always claim actual costs instead of simplified expenses?+
Not always. Simplified expenses can be easier and may be good enough depending on your setup.
#working from home#tax relief#home office#uk tax#self employed
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