Tax relief for professional fees and subscriptions

As an employee, you may be able to reduce your tax bill by getting tax relief on any professional fees and subscriptions you pay. You can go back several years to get the relief - the time you've got depends on whether you've previously sent in a Self Assessment tax return.

When you can get tax relief for professional fees and subscriptions

It may be that in order to do your job you need to have your name included on a professional register or to have a special licence. Or it could be that it's very helpful to belong to an organisation whose activities are relevant to your work.

Either way, you'll pay registration fees or membership subscriptions - usually every year. You may be able to deduct the cost of these from your taxable income and reduce the amount of tax you pay.

You can get tax relief on professional fees and subscriptions as long as:

  • you have your name on a register, hold a licence or are a member of the organisation in question because it's necessary or relevant to your work
  • HM Revenue and Customs (HMRC) approved the organisation you're a member of
  • List of HMRC approved organisations    

When you are not entitled to tax relief

You can't get tax relief on any fees and subscriptions that you pay to an organisation that HMRC haven't approved. You won't be entitled to tax relief if either of the following apply:

  • you are on a life membership subscription
  • if you haven't paid for the allowable professional fees and subscriptions yourself - for example if your employer has paid them and has agreed a 'dispensation' with HMRC

How to get tax relief

When HMRC approve an organisation and add it to their list, they ask the organisation to let their members know that they might be entitled to tax relief on their fees or subscriptions. They can tell you how much you are allowed to deduct.

If you haven't completed a tax return, you've got five years from the 31 October following the end of the year concerned to get the relief. If you've previously completed a return, it's five years from 31 January following the end of the year concerned.

More useful links

Tax evasion

People who don't pay their fair share of tax are being unfair on the rest of us.

 

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