Anyone in the UK who works and earns enough is required to pay income tax. Most of us simply assume that we’re paying the right amount but the truth is, countless UK taxpayers end up overpaying every year through PAYE.
The good news is that you can legitimately pay less tax, and even receive an income tax rebate for the last four tax years.
Read our guide below to learn how you can pay less tax and claim an income tax rebate.
Claim a rebate on your job expenses
You are entitled to an income tax rebate on some of your employment expense but if you don’t claim, you will not receive a rebate. Some of the expenses that you can claim an income tax rebate for include:
Purchasing tools: Tax relief for buying and maintaining tools that you need for your job out of your own money
Uniform cleaning: An income tax rebate for cleaning of recognisable uniforms such as cabin crew, police officers, and nurses
Professional fees: Covers the cost of membership for most professional bodies, as well as some unions
Traveling costs: For traveling to a temporary workplace, using public transport, or driving your own vehicle for work purposes
Other reasons
- You’ve left the UK: If you’ve left the UK or are leaving the UK you will normally overpay income tax in the year you leave
- UK Non Resident: If you don’t live in the UK and pay income tax you may be classed as non resident and qualify for a non resident tax rebate
- An incorrect tax code:
- If you’re employed, then you have a tax code. Your employer uses this code to determine the amount of tax that’s taken from your salary.
However, there are several causes that could lead to you having the wrong tax code. Having an incorrect tax code often means you will pay too much tax. If you have been given a wrong tax code in the past, and you’ve overpaid tax you can claim an income tax rebate to get back what you are owed.