What Expenses Can Be Claimed When Self-Employed? If you are self-employed you are probably wondering what expenses you can and cannot include in your Tax return to claim back a Tax rebate. Here we have a summary that may help you along the way. To ensure you receive the best possible Tax rebate it is […]
PAYE Refunds for Construction Workers
Those working in Construction but employed under PAYE may well be due a Tax rebate.
I'm an Employee in Construction - Am I Eligible to Make a Claim?
There are plenty of situations where you could have overpaid in your construction work. Typically, an overpayment arises where you have paid too much Tax on your Construction PAYE salary. This can arise if you have not claimed allowances you are entitled to, or maybe you have paid too much Tax on your salary. Such situations would include:
- Washing your own uniform for work
- Travelling to temporary places of work using your own car
- Your employer has taken too much Tax from your salary (this happens quite often)
- You are required to use your own tools and equipment for the construction project
- Many other situations
What Can I Claim Tax Back On?
What can you claim back on Construction PAYE? Actually, quite a lot! But if HMRC don’t know what expenses you have paid or your particular circumstances, they will not know whether you have overpaid Tax.
Here is a list of some of the areas that you can claim Tax relief on:
- Mileage costs
- Travelling expenses
- Rail season tickets
- Other subsistence expenses
- Food (in certain circumstances)
- Professional subscription payments
- Cleaning costs for uniforms
This is not an exhaustive list, there are circumstances in which you could claim for other forms of expenditure.
What Construction Trades are Allowable?
Construction PAYE Tax rebates are not restricted to any particular trade. Whether you are a bricklayer, carpenter, electrician, glazier, landscaper or a plasterer, as long as you have qualifying expenditure that has not been reimbursed you could be in luck. This also applies to unclaimed allowances for travelling to temporary workplaces.
Quite often, the reason for overpaying Income Tax could be that your PAYE Tax code was incorrect. Or perhaps your employer has made an administrative error when deducting Tax or National Insurance from your wages. These things happen quite often, and if you don’t check these calculations, you could be overpaying Tax.
How Far Back Can I Claim?
The current HMRC rules and regulations state that you can make a claim for up to four previous Tax years. This is also known as Overpayment Relief. This particular Tax relief protects Tax payers when they have accidentally paid too much.
If you have paid too much Tax for periods longer than four years ago, unfortunately it is too late to make a claim from HMRC. At the current moment of writing this would apply for Tax paid previous to 6th April 2012. Any Tax overpaid after 6th April 2012 can still be claimed.
Do you suspect you have paid too much Tax on your construction PAYE position? Contact us today for a no-obligation enquiry.
I Can't Remember the Sites I Worked At
If you’re struggling to remember which sites you have worked at, this shouldn’t cause too much of a problem. You might find that you can source a copy of these exact details from your previous employer or contractor.
Quite usually the HR departments of these large contracting firms would have this kind of information readily at hand.
That being said, the more information you can supply with regards to your claim, the better it is for us. No matter how small or irrelevant you think it might be, it may help us maximise the claim we make on your behalf.
Construction PAYE Mileage Claims
Mileage claims are probably the most common of Overpayment Relief claims made by construction PAYE workers. This is mainly due to the work being carried out regularly at temporary workplaces.
Travelling to temporary workplaces such as building sites, or construction grounds entitles a Tax payer to make a claim for the travelling costs. Whether these costs are incurred by using your personal vehicle, or by using public transport, the costs can be deducted from your gross income when calculating your Tax for the year.
Am I Due Any Tax Back?
Lots of people are due Construction PAYE Tax back for items of expenditure that they would never have thought possible. For most of these areas of cost, HMRC do not know your situation and therefore cannot apply a repayment automatically. It is up to the Tax payer to let HMRC know of any Tax reliefs they may entitled to.
The problem is that claims are reviewed on a case by case basis. As an example, for some individuals travelling expenses may be allowed, for others, these costs may not be allowed.
The only sure way to know is to get in touch. With a no-obligation enquiry taking 5 minutes of your time, you have nothing to lose but potentially thousands to gain.
All of the necessary UK Income Tax and National Insurance rates and allowances for the Income Tax year 2018/19 – fiscal year ending 5th April 2019.
Tax refunds are great, everyone loves a Tax rebate from HM Revenue & Customs. In many situations overpayments of Tax occur without the Tax payer knowing, or even HMRC having any knowledge. Because of this, they never get paid but get swallowed up by the Tax office over time. You don’t even need to register […]