Home > Ask Our Experts > Paying for Training Can I Claim Tax Allowance?

Paying for Training Can I Claim Tax Allowance?

By: J.A.J Aaronson - Updated: 13 Nov 2014 | comments*Discuss
 
Tax Relief Training Employment Citizens

Q.

Can I claim tax allowance if I pay for training which is essential to keep my job?

I refer to the training costs involved for individual LGV and PCV drivers who must do the Periodic Driver CPC in order to be able to drive for hire and reward.

(Mr R.E., 23 December 2008)

A.

As employment figures fall, many people are frantically trying to retrain in order to better equip themselves for jobs. It is generally thought that training for employment carries certain tax relief. In the current climate your question is particularly pertinent.

You mention that you are employed, and that the training in question is necessary in order for you to continue in that employment. Generally, if an employer is paying for your training, then relief is available on the amount that you would be paid had you been at work. However, there are a number of important caveats to this principle, some of which may mean that you are not eligible for relief.

Perrin v. HM Revenue And Customs

In the first instance, training is only eligible for tax relief if the expenses are incurred “exclusively and necessarily in the performance of duties”. As you will not be able to continue in employment without the training, this would seem to be clear-cut.

This is not the case, however, in Perrin v. HM Revenue and Customs (2006). An accountant claimed relief on payments for course fees that he was required to pay in order to qualify (ironically) as a chartered accountant. HMRC refused to grant relief, and their position was upheld. It was established that expenses only attract relief if they are incurred “in the performance of the duties”, regardless of whether the employer will dismiss the employee if they fail to complete the training. Even in these cases, HMRC are likely to state that the expenses were not incurred “exclusively” in the performance of duties.

Specific Advice

As can be seen, the question of Tax Relief on training is a complex one. It is fairly safe to assume that, if you are footing the bill for the training yourself, and you are not being specifically paid for the training (HMRC stated that Perrin was paid for his work, not for the training), you are going to find it very difficult to successfully claim relief. That said, you should contact a tax advisor to discuss the specifics of your case. The Citizens Advice Bureau offers this service free of charge.

You might also like...
Share Your Story, Join the Discussion or Seek Advice..
@Connor - yes, it should be able to be claimed back as it is classified as a standard expense.
TheTaxGuide - 13-Nov-14 @ 1:59 PM
We employ subbies to carry out installation works for our company on the underground, we generally pay for various certificates they must have to carry out there work. Can we claim back the cost of these courses.
conner - 13-Nov-14 @ 12:16 PM
as a agency worker , im taking training for cpc for lorries the costthat back t is £330 can i claim any of that back in tax relief
al - 4-Aug-14 @ 6:07 PM
Share Your Story, Join the Discussion or Seek Advice...
Title:
(never shown)
Firstname:
(never shown)
Surname:
(never shown)
Email:
(never shown)
Nickname:
(shown)
Comment:
Validate:
Enter word:
Latest Comments
  • Sbuj
    Re: How Will My Second Job Be Taxed?
    Hi I have full time job plus extra part time if I will start working for agency tax for one of my extra jobs will b change…
    16 October 2018
  • Lizzie
    Re: Children's Bonus Bond
    I was bought a £25 Children's Bonus Bond as a christening present in 2001 and was wondering how much it is worth now and when it matures.
    8 October 2018
  • Storm
    Re: What Does Road Tax Pay For?
    I see a fair bit of pothole repairs, the biggest problem I see is the work carried out is very poor indeed more often than not as…
    26 September 2018
  • PETA
    Re: Payment of Pensions
    Can I change my pension to weekly how does this work
    20 September 2018
  • Kaz
    Re: How Will My Second Job Be Taxed?
    Up until june this year i only had 1 job of 14 hrs a wk at minimum.wage, i now have 3 jobs, the 2nd one being 6.7 hrs a wk @…
    19 September 2018
  • Dom
    Re: Claiming Tax Relief on Mileage
    I am paid a £250 per month travel allowance with my salary, and claim monthly travel expenses each month from the company for…
    13 September 2018
  • Fifi
    Re: How Will My Second Job Be Taxed?
    Hi I’m working 22hrs a week at 7.85ph but also signed up to an agency to work as and when, how much tax would I pay
    11 September 2018
  • Littledigidi
    Re: Claiming Tax Relief on Mileage
    Hi - I have a fuel card, the majority of my mileage is work related. can i claim any tax back on this. My company pay for all my…
    10 September 2018
  • TheTaxGuide
    Re: How Will My Second Job Be Taxed?
    B - Your Question:I have two jobs the first is as and when and the second is 12 hrs a week, combined I am nowhere near the…
    4 September 2018
  • Loui
    Re: How Will My Second Job Be Taxed?
    I am employed working 15hrs at £8.20 but get paid monthly and I'm self employed for 2 hrs a week at £8.00 a week. Would I get…
    3 September 2018