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So the gov assumes it costs an extra £6 for each person to WFH each week so that £6 each week is tax free? That makes sense but also doesn’t...
My previous employer is very stingy and wouldn’t surprise me if someone from HR/payroll got the wrong end of the stick like I do, which is probably why they are stopping this as of 1 Aug this year.
I know we can claim more but it hardly seems worth the effort. Say my entire energy bills minus water (because it’s fixed) is £60 a month, even if most of it is as a result of WFH, which it isn’t, 20% of that is still not worth my time to send proof etc...
Also. It doesn’t seem fair that those who pay 40% tax get 40% relief overall when 1. They could probably afford it more easily and 2. Nobody pays 40% of their entire earning... oh well... £64 a year with a few clicks on my computer is still a nice evening out with some friends.
I still think I am worse off WFH because like many of us who cycle, I don’t pay for transportation anyway, almost every colleagues of mine has managed to save £2-3k last year yet they still moaned about getting £312 for the year to cover extra energy bills wasn’t enough... some people!
The government tax relief is on, as you say £6 a week. I think the point is not that that covers the cost of your working from home, but simply that you don’t pay tax on the proportion of your wages that covers the cost of working from home. (Sorry if that sounds obvious - exactly as you say, £64 a year is otherwise laughable.)
Sounds like your previous employer had decided it would cover the ‘whole’ costs of your working from home which they are also allowed to do tax free, but it comes from their pocket, not HMRC to the tune of the same £6 per week
Basically, HMRC will give your tax back, or your employer can pay you an allowance.
Worth noting that you can claim tax relief on more costs from HMRC if you can prove them.