Tax relief opportunities for NHS Consultants

Tax relief opportunities for NHS Consultants

For NHS consultants it is important to know what you can claim tax relief on. HMRC states you can only claim on things that are used for work and it is possible to claim tax relief if you have had to use your own money for job-related matters.

For example, if you are commuting you may have travel costs that have been paid from your own income. However, you are required to have paid tax in the same year you have spent the money. Therefore, the size of the claim is very much dependent upon the yearly tax rate you pay.

For all healthcare professionals/NHS consultants, you are legally required to have professional indemnity insurance. This covers the services you provide, in which it maintains your record-keeping with a professional body.

What can you claim?

Possible claims can derive from an NHS consultant’s professional fees and subscriptions, such as being part of a trade union like BMA. Again, you can claim back mileage or fuel if you have to travel for work outside of your usual workplace. You can make claims regarding any tools and other equipment that you have bought, such as stethoscopes and other forms of apparatus. You may ask about courses and exams undertaken to reach your professional level, but the HMRC generally regard them as a progression in terms of your career rather than an expense. Therefore, you would most likely not be able to claim this back.

With that being said, as an NHS consult­­ant, it is worth identifying what you can claim especially because you can backdate your tax claim for the past four years. This means you can claim any overpaid tax since the beginning of April four years previously. You must keep records of what you have spent to be able to claim the money back at the end of the tax year. You can receive tax relief at its highest rate which is 40%.

However, if your claim is between £1,000 and £2,500 then you can complete a P87 form which can be found on the HMRC’s website. If your claim is over £2,500 you can claim through a self-assessment here.

If you are an NHS consultant and you need more advice on tax relief, please get in touch with us as we work with a range of businesses and people, including GPs and consultants. You can call us on 01623 490120 or email This email address is being protected from spambots. You need JavaScript enabled to view it. for more information.

 

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