HMRC tightens rules for expense claims
- Dec 19, 2022
- 1 min read
Form P87 used to claim employment-related expenses will have more compulsory boxes from 21 December.
Taxpayers can make claims for employment-related expenses in the following ways:
on their self-assessment tax return;
by phoning HMRC (subject to limits);
complete, print and post a paper P87 form (https://www.gov.uk/guidance/claim-income-tax-relief-for-your-employment-expenses-p87);
use the online P87 service accessed through their personal tax account.
Regulations (SI 2022/1243 (https://www.legislation.gov.uk/uksi/2022/1243/regulation/3/made)) were passed on 29 November requiring the following sections of form P87 to be completed:
Employee’s name, date of birth, and home address including the postcode;
Employee’s national insurance number, if they have one;
Amount and description of the expense claimed;
PAYE reference of the employer.
Where flat-rate allowances are claimed under ITEPA 2003 s 367, which are specific to defined industry sectors, a description of the industry must be included.
From 21 December 2022 any P87 forms that don’t include the required information will be rejected.
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