Mechanics Claim
Mechanics Tax Rebate
As a mechanic or vehicle technician, you may be eligible for a mechanics tax rebate, allowing you to claim tax relief for the expenses incurred on tools, equipment, and specialized clothing essential for your job, if you have personally covered these costs.
Eligibility Criteria:
You could become eligible for a mechanics tax rebate if you:
• Spend your own money on work tools.
• Do not receive full reimbursement from your employer.
• Purchase tools and equipment necessary for your job.
Protective Uniform
Most mechanics are responsible for maintaining their protective clothing.
If you have to clean, repair, or replace your protective work uniform at your own expense, you are entitled to claim tax relief. However, this does not apply if your employer reimburses you for the cost or provides laundry services. The current flat-rate allowance for a mechanic’s uniform is £60.
Tools
To claim a tool tax rebate, you must own the equipment rather than lease it, and it must be used solely for professional purposes.
Mechanics are eligible for a flat-rate allowance of up to £120 per year for tools, with no requirement for proof of purchase. This claim can be backdated for up to four years.
For tools exceeding £120 per year, you can apply for a rebate as a Capital Allowance, requiring proof of purchase such as receipts. The rate is set at 18%, and there are no restrictions on how far back you can claim, provided the equipment is still in use.
Finance Agreements
If you’ve financed tools and equipment through a finance agreement, you can claim tax relief on the interest paid. This claim can also be backdated for up to four years.
Membership and Subscription Fees
Membership fees for organizations such as the Institute of the Motor Industry (IMI) and subscriptions to trade unions may also be eligible for tax relief.