Tax

Working from Home Tax Relief HMRC 2026: How to Claim

SYM

Millions of UK employees continue to work from home at least part of the week, yet many don't realise they can claim tax relief on the additional household costs they incur. HMRC's working from home tax relief scheme lets eligible employees reduce their tax bill — and it only takes a few minutes to set up. Use the SYM app to track how much you're saving through tax relief claims alongside your other savings goals.

Who Qualifies for Working from Home Tax Relief?

To claim working from home tax relief, you must be an employee (not self-employed — different rules apply) and your employer must require you to work from home. This means it's part of your employment contract, or your employer doesn't provide adequate office facilities for you. Simply choosing to work from home for convenience does not qualify. The key test is whether you have to work from home, not whether you want to. If your employer offers a hybrid arrangement where you must work from home on certain days, you should still be eligible for those periods.
  • •You must be an employee paying tax through PAYE
  • •Your employer must require you to work from home (not just allow it)
  • •You must incur additional costs as a result (heating, electricity, broadband)
  • •Your employer must not already reimburse these costs in full

How Much Can You Claim?

There are two main methods for claiming. The simplest is the flat rate method: HMRC allows you to claim tax relief on £6 per week (£312 per year) without needing to provide receipts. For a basic rate (20%) taxpayer, this is worth £62.40 per year; for a higher rate (40%) taxpayer, it's £124.80 per year. Alternatively, you can claim the exact amount of additional costs you incur, but you'll need to keep detailed records and receipts to support your claim. Most people opt for the flat rate as it's simpler and doesn't require evidence of expenditure.
  • •Flat rate: £6/week — no receipts needed
  • •Basic rate taxpayer saves: £1.20/week (£62.40/year)
  • •Higher rate taxpayer saves: £2.40/week (£124.80/year)
  • •Exact cost method: claim actual additional costs with supporting evidence

Step-by-Step: How to Claim Online

HMRC has made the process straightforward through its online portal. You don't need to fill in a Self Assessment tax return if you're a PAYE employee — instead you can apply via the Government Gateway.
  • •Go to gov.uk and search for 'claim tax relief for working from home'
  • •Sign in with your Government Gateway ID (or create one if you don't have one)
  • •Answer the eligibility questions about your working arrangements
  • •Select the tax years you're claiming for
  • •HMRC will adjust your tax code so you pay less tax going forward
  • •For previous tax years, you may receive a rebate directly or through a tax code adjustment

Can You Backdate Your Claim?

Yes, you can claim for previous tax years. You have up to four years to backdate a claim, which means in 2026 you can still claim for the 2022/23 tax year onwards, provided you were eligible during those periods. During the pandemic years (2020/21 and 2021/22), HMRC operated a more generous scheme where anyone required to work from home for even one day could claim for the entire year. The standard rules have since been reinstated, so claims for 2022/23 onwards require you to regularly work from home as part of your job. Backdating can be worth several hundred pounds in total if you've been eligible for multiple years.

What Your Employer Should Know

Employers can pay employees up to £6 per week (or £26 per month) tax-free to cover additional household costs of working from home. If your employer already pays this allowance, you cannot also claim tax relief from HMRC on the same amount. However, if your employer pays less than £6 per week, you can claim the difference. It's worth checking your payslip or asking your HR department whether you're already receiving any homeworking allowance before submitting a claim. Some employers reimburse actual costs instead, which is also tax-free for the employee provided it genuinely covers additional costs incurred. Track all your savings — including employer allowances and tax relief — with the SYM app.

FAQ

Frequently asked questions about working from home tax relief in 2026.
Can I claim if I work from home only some days?+

Yes, as long as your employer requires you to work from home on those days. However, the flat rate of £6/week applies to the full week regardless of how many days you work from home.

Do I need to submit receipts?+

Not if you use the flat rate method (£6/week). If you want to claim exact costs above this amount, you will need receipts and evidence of additional expenditure.

Will claiming affect my tax code permanently?+

HMRC will adjust your tax code for the current year. You may need to reapply or confirm your eligibility each tax year. If your circumstances change and you stop working from home, you should notify HMRC.

Can I claim for broadband costs?+

Only the additional cost attributable to work use. If you already had broadband for personal use, the flat rate method is usually simpler. If you upgraded specifically for work, you may be able to claim the difference under the exact cost method.

#working-from-home#tax-relief#hmrc#wfh-allowance#employment-expenses

Start Your Savings Journey Today

20+ savings challenges, daily tracking, and achievement badges -- all free.

Download on the App Store