No matter what business you’re part of, which boss you’re working for, or what tasks are given to you, you’ll have to shoulder your own expenses for events or other things related to your job from time to time for tax relief.
This isn’t unusual and most companies often ask their employees to shoulder expenses while working on certain tasks related (or even unrelated) to the job.
Normally these include the costs that are involved in transporting people from one place to another. This takes places
These include paying for a client’s meal, their transportation from one meeting place to another, or gifts for loyal clients during the holidays.
However, while companies think nothing of asking their employees to do this, there may be some instances where an employer will not reimburse any expenses an employee shouldered on the job. Although you might think the only thing you can do if you find yourself in a similar situation is to mope and try to forget about it, there’s actually one way you can still claim these expenses: tax relief.
When can Employees Avail Tax relief?
Think of tax relief as a parent that has your back if your older sibling (i.e. your employer) doesn’t give you the money they owe you, which means that you’ll be compensated justly at the end of the day. However, employees can only claim tax relief on travel expenses, fees and subscriptions, work at home cases.
If a certain expense is claimed, then you can assume that the debt is paid off. It can be easily claimed. Protect employees from negligent or selfish bosses, wherein the costs in question were only incurred in the course of performing one’s duties.
What Employment Expenses are Eligible for Tax Relief?
You should know that seeking a claim that comes off as a strict test is there for people seeking just compensation. It might seem like a good reason to claim tax relief but a bit of proof is required to back it up.
We’ve compiled a list of certain expenses that qualify for the tax relief to help you make your claim:
Claim your Travel Expenses:
Common for most or global businesses or franchises as hotels, restaurants, or stores, travel expenses are incurred by the employee on the premise of being repaid. The trip is for business purposes only.
Typically, it’s the easiest expense to file a claim for, like plane tickets, receipts, and proof of meetings or training. It can be used for tax relief.
Claim your Business Mileage
You use this for employees to go somewhere they were ordered to by their employer or do certain things for the company. When claiming business mileage tax, employees can also be reimbursed for any other costs incurred on the same trip, such as parking, gas, or toll fees.
What Fees and Subscriptions are Allowed?
Employers ask their subordinates to make certain subscriptions for the sake of being able to work better to meet certain standards.
Certain fees and subscriptions can be used as the basis for tax relief as long as they are related to work.
Claim Partial reimbursement
In the case of partial reimbursement, this is a type of eligible cost for tax relief that usually happens when an employer or business does not pay the entire amount. This can be applied for by showing the receipt of the earlier reimbursement.
Accotax specializes in accounting for small businesses, get in touch today to see how we can help.
