HMRC issues warning to home workers and says 'don't get caught out'

HMRC issues warning to home workers and says 'don't get caught out' There has been a surge in 'questionable' tax relief claims after home working skyrocketed due to the pandemic Home workers have been warned to 'always check' before making a tax relief claim There has been a surge in 'questionable' tax relief claims after home working skyrocketed due to the pandemic - resulting in a warning from HM Revenue and Customs (HMRC). Home workers have been urged to double-check their eligibility before claiming as slip-ups could lead to hefty repayments. In a post on X, HMRC said: "Don't get caught out by ads promising quick tax refunds for working from home. "Always check if you're eligible before making a claim. Avoid agent fees by claiming directly with HMRC." READ MORE: DWP warns older people they risk losing £441 a month if rules not followed The warning comes as a change means many could now be ineligible for the relief, which is intended to offset specific occupational costs such as higher heating bills or business calls. Article continues below The relief was not meant to cover day-to-day expenses such as rent or internet charges, the Mirror reports. Andy Wood, a tax expert from Tax Natives, said: "Tax relief for working from home is available in specific circumstances, such as when an employer requires an employee to work remotely, or if there is no office available." He said voluntary home office arrangements didn't qualify for the financial relief. Employees can either select a flat rate of £6 per week or opt to account for additional outgoings they directly incur as a result of their work. Andy continued: "Claims must relate directly to work-related costs, such as business calls or a proportion of heating and electricity, not to general household costs like rent or broadband." During lockdown, tax relief rules were given a revamp to the benefit of home office workers. However Andy explained that eligibility may no longer be the same: "Many people who were eligible during the pandemic may no longer qualify today, so it's important not to assume continued entitlement without checking." The HMRC alert also highlights tax refund businesses touting easy money – potentially resulting in unsuspecting clients being saddled with unexpected debts if claims are challenged. Andy added: "Taxpayers should be aware that even if they use an agent or tax refund company to submit a claim, they remain personally responsible for the accuracy of the information provided." Article continues below He said any mistakes would come out of the pockets of the individuals, not the agents. People have been encouraged by the HMRC to validate their eligibility with its online checker before making any submissions. Those who are eligible can make a claim for the current fiscal year - and up to the four preceding years if they haven't done so already.