HMRC issues new warning to people claiming tax break for working from home this year

dailyrecord.co.uk:

Since the start of the first coronavirus lockdown in March 2020, HM Revenue and Customs (HMRC) has been encouraging employees who have been asked to work from home by their employer to claim a tax break to help with higher energy costs.

Workers across the UK only had until the end of the financial year on April 5 to claim the allowance, worth up to £125 in total for the 2020/21 and 2021/22 tax period, under the amended eligibility rules.

However, the GOV.UK guidance for claiming tax relief for working from home has now changed for expenses on or after April 6, 2022, and could result in a prosecution if they are not followed correctly.

New guidance on GOV.UK states: “You can claim if your employer has not already paid your expenses and you have additional household costs as a result of working from home.”It adds: “To claim tax relief, you cannot have just chosen to work from home.”And the warning is clear: “You must ensure you meet the rules for claiming, as you may be prosecuted if you deliberately give incorrect or misleading information."To claim for the new tax year 2022/23, one of the following must also apply:The guidance continues: “By clicking accept and continue, you are accepting that you meet the rules for the years you are claiming for.”For thousands of employees now following a blended way of working, or for those opting to work from home on a permanent basis, it looks like the nifty tax break has gone for good. To keep up to date with the cost of living crisis, join our Money Saving Scotland Facebook group here, follow Record Money on Twitter here, or subscribe to our twice weekly newsletter here.