Can I claim a tool tax rebate for Snap on tools?

As a mechanic, you are entitled to claim a tool tax rebate for the tools and toolboxes you’ve bought from Snap On tools if you have bought them for work use.

If you’ve paid out of your own pocket, and your employer hasn’t reimbursed the cost, then you can add your Snap-On purchases to your tool tax rebate claim.

Do I have to have receipts for every item I claim for?

There are two ways of claiming tax relief on your Snap-on tools purchases, one needs receipt evidence and one doesn’t. The big difference is if you can provide receipts you can receive a far higher tool tax rebate.

If you don’t have your receipts you can ask your snap on tools dealer for a transaction history which can be used instead of the individual receipts.

• Receipts: You can claim capital allowances on the real cost of your tools, if you have the receipts or activity reports as proof of purchase. Let’s face it, with even a simple flashlight starting at £50, you are easily going to exceed that £120 flat rate allowance. If you’re buying your own toolbox, diagnostic scope and drill kit, you’re looking at upwards of £6,000 to buy your own Snap-On kit. This tax relief is worth about 18% of the total cost of your Snap-On tools. There isn’t any time limit on Capital Allowances, as long as you are still using the item and you have the original receipt. You can claim this allowance, even if your tax code already contains the flat rate allowance.
• No receipts: As a mechanic, you are entitled to claim a flat rate expense allowance for tools. HMRC’s current tool allowance rate is a spend of £120 in one tax year. Your claim is 20% tax back on this, which is roughly £24 per tax year. After claiming this once, it becomes part of your tax code and is automatically applied, unless you inform HMRC of a change to your status.

Snap on tools finance agreement tax relief

Not many mechanics are aware of this tax relief, even though most buy their Snap-On tools using a finance agreement. Well, who’s got £5,000 lying around to buy a toolbox for cash? The interest you pay on these finance agreements is eligible for tax relief.

Can I claim for tools bought from other tool providers?

Yes you can claim capital allowances for tools and equipment bought from tool providers other than Snap on tools.

Are you in the Institute of the Motor Industry (IMI)?

The IMI promotes the recognition of your qualifications and maintains a professional register for the retail motor industry sector. You get continued professional development support and your customers are reassured by your IMI membership seal of approval. As the IMI is on HMRC’s list of Approved Professional Organisations and Learned Societies, you are entitled to reclaim tax relief on your membership fee. The only exception to this is if your employer pays your IMI subscription on your behalf.

Are there any other tax reliefs I can claim?

HMRC have an enormous list of work expenses tax allowances and reliefs that working taxpayers are entitled to claim. As well as those already mentioned, car mechanic tax relief claims often include:

• Washing your work PPE: This can be worth £60 a year. As long as your work clothes meet HMRC’s definition of a uniform and you don’t have laundry facilities in your workplace, you are entitled to claim for this unavoidable cost.
• Buying safety clothes and PPE: This includes steelies, coveralls and flame retardant overalls. Your employer may provide your safety clothing but if they don’t keep the receipts so you can make a tax rebate claim.
• Mileage: This one gets a bit involved, but if you’re using your own vehicle for work you are probably owed tax relief on this expense. For example, if your employer sends you to cover in a different garage for up to 24 months and you drive there in your own van. It’s also important to check that you are receiving the full approved mileage allowance payments. Your employer may well pay you some mileage, which is great. But you can also claim the difference from HMRC, if it is not the full sum you are entitled to.

There are many other tax allowances and reliefs that could apply to you, that’s why we treat each client individually and write bespoke claims for each one.

How far back can I claim tax relief for?

Most of the tax reliefs we have listed here can be backdated for four tax years. They have differing rules about evidence, like receipts or a travel log. If you are making a capital allowances claim for your snap on tools we can use receipt evidence for as far back as you can provide it for as long as the item is still in use.

So I can claim if I’m employed by a garage and paid through the PAYE system?

Yes, employed tradespeople are eligible to claim tax relief on the cost of their tools and you don’t have to be self employed. It only matters that you have been paid enough to pay tax through your salary from your employer.