New Tax Relief for Joint Royal Colleges of Physicians Training Board (JRCPTB) fees available
As paying the training registration fee to JRCPTB is mandatory, HMRC have now agreed that this cost is eligible for tax relief. This applies to all fees paid on or after May 10th 2013. Unlike other tax reliefs, it cannot be backdated beyond this date.
It is important to consider how you will evidence this claim as the JRCPTB do not give receipts as proof of payment. We suggest that you use your PayPal confirmation authorisation code or the completion page of the online registration process as your proof of payment.
Other tax reliefs you are entitled to
There are several other tax reliefs available to your profession. It depends on your personal situation whether or not they are applicable to you. HMRC considers each case individually.
There are a whole host of reliefs available to taxpayers. We have compiled a list of some of the other most common tax reliefs that are successfully claimed by doctors.
- Examination fees for Membership of the Royal College of Physicians of the UK (MRCP(UK)).
- If you are employed under a training contract then you may be able to claim tax relief on the cost of sitting your MRCP(UK) and SCE (Speciality Certificate Examinations) exams. This applies to Speciality and Core trainees and can be backdated for the last 4 years – as long as you paid the fee yourself.
- Membership fees to professional bodies Trade Unions and professional journals
- Professional organisations, like the GMC, may have an agreement with HMRC so that you can claim tax relief on their fee.
- Professional indemnity insurance
- lf you are not reimbursed for the expense, the cost of some professional indemnity insurance can be claimed. The insurance company must be on HMRC’s ‘allowable’ list for this to apply. For example, membership of MDU.
- Training Costs
- There are very specific parameters around claims for course fees and other training expenses (like travel). Basically, if training is part of your employment contract, then you will probably be able to claim tax relief on training costs. If the training you undertake is not “in the performance of employment duties”, which describes a large portion of medical training, then you will not be able to claim tax relief; despite the severe consequences of failing to maintain compulsory CPD levels.
- Work travel in a private vehicle
- If you are using your own vehicle to travel to a temporary workplace, or between different workplaces, then you may be able to claim tax relief on this cost. This could be travelling to different hospitals, visiting patients at home, or running clinics at different venues. It does not mean a usual, daily commute between your home and a permanent work location. You may also be able to claim business mileage if you are placed at a different, temporary workplace for a duration of no more than 24 months.
- Buying equipment or specialist clothing
- If you buy any equipment or specialist clothing that you use “wholly and exclusively” (HMRC’s words) for work, then you may be able to claim tax relief on this cost. You will usually need to provide evidence to support this type of claim (receipts, bank statements).
- Laundering uniform or protective clothing
- If your workplace does not provide laundry facilities, then you may be able to claim for laundering your protective clothing at home.
- Working from home
Good to know
- If your employment contract states that working from home is part of your employment duties then you can claim tax relief on the costs (eg office furniture, electricity).
- The amount of tax relief you can expect back depends on your current tax bracket. Either 15-20% of your expenses cost, if you are a basic rate taxpayer; or 40% of the sum of your expenses, if you are a higher rate taxpayer.
- You can backdate an initial tax relief claim for 4 years and you get a small interest payment on the previous years.
- It takes HMRC approximately 6-12 weeks to process a tax relief claim. This figure can fluctuate depending on their volume of work.
- Your current employer is completely unaffected as this is a confidential communication between you and HMRC.
- You may have had multiple employers during the period your claim is for and this makes no difference to your eligibility.
How to claim
There are three ways you can do it yourself:
- You can download a P87 form from HMRC’s website and complete it yourself.
- If your expenses are more than £2,500 or you already submit a self-assessment tax return, then you can make a tax relief claim through your next self-assessment form.
- You can write a letter to HMRC, including all of the necessary details and supporting evidence.
Many doctors wisely choose to enlist the help of a tax expert to make sure that they receive the maximum tax relief total that they are entitled to. Tax Rebate Services delivers a professional, fully regulated service that makes a laborious, frustrating process surprisingly simple and hassle-free. Get in touch on 01228 520477or 0845 094 0005 . If you prefer, email us at firstname.lastname@example.org.