Healthcare Worker Tax Rebate Guide

NHS and private healthcare professionals can qualify for a Healthcare Worker Tax Rebate.

Whatever your specific role is, if you are a healthcare worker, then you might be eligible to claim a healthcare worker tax rebate back from HMRC.

It is common for individuals working in the health industry to spend some of their hard-earned wages on what HMRC (the tax office) calls job expenses.

HMRC allows you to claim tax relief to help cover the cost of many common work related expenses for example, using your private vehicle for work related journeys, or washing your uniform.

You are not restricted to making a claim for just the current tax year – you can backdate an initial claim for your last four taxpaying years.

Following a successful claim, you can keep enjoying the advantage of reduced tax payments, as your tax code will be adjusted to reflect your work-related expenses.

See how the regulations apply to you and find out how to send your claim to HMRC, with our free healthcare worker tax rebate guide.

What can Healthcare Workers claim a tax rebate for?

We’ve listed below some of the most common expenses that workers within the health industry can claim a tax rebate for:

Rebate for professional fees

HMRC allows tax relief to be reclaimed on the cost of most professional bodies and some Unions, for example a nurse can make a claim for tax relief on their NMC and RCN membership fees.

Uniform tax 

If you need to wash your own work uniform, and the NHS or other employer doesn’t reimburse you or offer laundry facilities, this is an allowable expense.

The current uniform washing allowance for healthcare workers is worth £125 each tax year.

Rebate for the cost of shoes and tights

Tax relief is available for many healthcare workers who buy shoes and tights for work use, and aren’t reimbursed by their employer.

The current allowances are £6 for tights and £12 for shoes per tax year.

Tax relief for car use and business mileage

You can claim tax relief if you use your own vehicle to travel for work − for example a mobile care worker who visits patients in the community. You can’t claim for normal commuting to your permanent place of work.

You need to be able to produce records of journeys, dates and mileages to make a successful claim for your full entitlement.

Work from home tax rebate

Health care workers who have to work from home may qualify for a working from home rebate which is worth £6 per week and is meant to help cover some of the cost incurred of home based work.

Tax relief for assets or equipment 

This tax relief covers items that have to be bought to enhance the performance of your employment duties, and must not have been provided by your employer. Examples could be a laptop or office desk.

This type of claim is made under the capital allowances rulings. If the purchase has a lifespan of more than two years, it will generally be allowed for tax relief by HMRC, but you’ll need a receipt or other proof of purchase.

The time limit for making a claim depends on whether you’ve completed a self assessment tax return.

Use our free tax rebate guides to find out more on each allowable expense.

How far back can I claim tax rebates?

You can claim tax rebates for the current tax year and the four previous tax years. This means you could potentially receive a substantial rebate if you haven’t claimed before.

How to claim your Healthcare worker tax rebate

For first time claims HMRC expects you to complete a form P87 or an online claims form on their website.

Online through your personal tax account

• Create or sign in to your personal tax account on GOV.UK.
• Select the “Check income tax for current year” option.
• Choose “Tell us about your employment expenses”.
• Follow the on-screen instructions to complete your claim.

By post using form P87

• Download form P87 from GOV.UK.
• Complete all required sections.
• Attach supporting documentation.
• Post to HMRC at the address provided on the form.

If you are claiming back for more than one tax year at the same time you can include it on the same P87 or online form.

Information required when making a claim

When submitting a tax rebate claim under PAYE for employment-related expenses, you may need to provide some or all of the information below:

• Your national insurance number.
• Your current home address.
• Contact telephone number.
• Details of your employer(s) during the claim period.
• Your employment contracts for the relevant period (if applicable).
• Proof of identity (passport or driving license).
• Proof of address (utility bill or bank statement).
• Wage slips covering the claim period.
• P60 end-of-year certificates and P45 forms (if applicable).

Required Documentation and Evidence

Different types of claims require different evidence:

For flat rate allowances (e.g., Uniform Maintenance):

• No receipts or evidence is genrally required for standard allowances like uniform flat rate expense.

For travel expenses:

• Detailed log of journeys including dates, locations, distances, and purpose.
• Proof from your employer that you need to travel for work purposes like a contract of employment or statement.
• Receipts for public transport expenses.

For professional fees:

• Proof of payment for memberships and registrations.
• Evidence that the subscription is necessary for your role.

For equipment purchases:

• Receipts for all purchased items.
• Evidence that items are required for work purposes.

How long does it take HMRC to reply?

When you have submitted your claim HMRC will review it and will let you know the outcome usually within about twelve weeks.

You can look for updates in your personal tax account or the HMRC app.

HMRC will normally send any tax rebate due because of your care worker claim to the bank details entered on your P87 or by cheque through the post.

If you complete a self assessment tax return your claim should be included in the employment section of your tax return instead of completing a P87.

Your tax code as a Healthcare Worker

After you have made a successful claim HMRC will usually update your tax code to include the expenses you have claimed as a health care worker.

HMRC does this so you don’t have to make a claim each tax year for the same expense and means you receive the tax relief you are owed by paying less tax every time you are paid.

Your tax code tells your employer how much tax to deduct from your salary so checking your tax code (found in your personal tax account) before and after a claim is recommended.

Healthcare worker tax rebate example

A common example of a care worker tax rebate claim involves travelling to temporary places of work using your own car and not being reimbursed the full HMRC mileage rates (tax free) by your employer.

Care workers in this scenario can be entitled to a mileage tax rebate if they use their own vehicles to visit what HMRC classes as a temporary workplace.

A claim for .45p per mile for the first 10,000 miles and .25p per mile thereafter is possible.

If the employer pays for mileage expenses this has to be deducted from a claim if it is paid tax free.

Other tax relief can be claimed for at the same time as a mileage claim on the same P87 form or self assessment tax return.

Can Nurses claim a tax relief?

UK nurses are eligible for various tax reliefs primarily focused on work-related expenses and professional costs.

Organisations like the Nursing and Midwifery Council (NMC), Royal College Nursing (RCN) and UNISON all have agreements in place to allow for annual membership tax relief.

Nurses also have specific flat rate expenses worth £185 for uniform and £18 for shoes and tights.

Our tax guide for Nurses highlights what you can claim and gives practical tips on how to maximise your refund.

Can Doctors claim a tax rebate?

Doctors can claim for tax relief on a variety of subscriptions and expenses incurred at work.

Membership costs into professional bodies like the General Medical Council (GMC) and the British Medical Association (BMA) are tax deductible expenses.

Tax relief can also be available on costs relating to training courses, books and journals, and diagnostic medical equipment.

Our tax guide for Doctors covers many of the available reliefs that can be unique to that profession.

Important Deadlines and Considerations

• Claims can be made for the current tax year and up to four previous tax years.
• The tax year runs from April 6 to April 5 of the following year.
• For backdated claims, the four-year deadline is calculated from the end of the tax year you’re claiming for.
• You cannot claim for expenses that have been fully reimbursed by your employer.
• After your first successful claim, HMRC usually adjusts your tax code for automatic relief in future years.
• Agency healthcare workers are eligible for the same rebates but should keep particularly detailed records.