Are you buying various tools which you need for getting your job done? Then you will be happy to learn that you are eligible to apply for certain tax rebate now.
If you are a mechanic, then you must have spent lots of money to buy your tools for work. In case you were not reimbursed by the employer, then you may claim back part of the cost as mechanics tax rebate.
Am I applicable for receiving tax refund?
In case you are:
- Spent money from your own pocket to buy work tools
- Regularly purchase different equipment and tools that is needed for your job
- Not fully reimbursed by the employer
Then you are eligible for claiming mechanics tax rebate.
What is mechanics tax rebate?
Surely you may get a refund on your tax that you paid for the tools that you require for your work by making claim for mechanic tax relief.
Tax relief on your tools will be allowed by HMRC for claiming back, for helping you to cover your cost on all these essential items as capital allowances claim.
How much amount mechanic tax refund is?
You can make claim worth of about 18% of total cost that you have spent on your tool purchases. Even you can claim for last 4 years while making your claim. In case, you have got genuine receipts to show as evidence, then you can go even further.
In certain years, you may have spent more on your equipment and tools than your allowance that is included in the tax code.
For getting back everything you are entitled for, you need to make claim for capital allowances on cost of all tools that you have bought.
What I need to do?
You must have necessary evidence to show that you have purchased any tool or equipment. Either you must save the receipt or any activity report received from the tool provider.
Your tool provider must be able to provide you activity report in case you ask him politely.
Can we claim protective clothing and uniform allowance too?
All mechanics have to maintain and wash all their protective clothing. A fixed amount of £60 in a tax year can be claimed from tax office to cover your cost.
However, in case your employer offers facility of washing your protective clothing then you cannot claim.
Finance tax relief
Any expensive purchases e.g. tool boxes can be purchased through finance agreement from any tool provider.
Few Tax Rebate Services can also help you to make successfully all your claim for tax relief along with interest if any payments have been made under finance agreement.
IMI tax rebate
In case you are member of IMI and also pay for your membership fee from your own pocket then you can claim refund your tax rebate. Even your agent can reclaim this amount on your behalf while they are processing all your rebates on mechanic tax for your tools.
If I have switched my employers then?
Your change of employers will not make any difference in your rebate for mechanic tax claim. All your tax affairs will be between HMRC and you, and has no bearing with your current employer.