Issues with workplace travel claims

HMRC is contacting individuals who have come to the UK on secondment to remind them of the rules for claiming tax relief on travel and accommodation expenses incurred when working at a temporary workplace. The letters and emails highlight two common errors and explain how to avoid them when completing self-assessment tax returns for 2025-26.

Employees may be able to claim relief on qualifying business travel and accommodation costs where the expenses are incurred wholly for work purposes and have not been reimbursed by their employer.

HMRC highlights the following areas where claims can go wrong:

• Claiming for travel to a permanent workplace. A workplace is not temporary if the employee works there for at least 40% of their time and the period lasts, or is expected to last, more than 24 months. If circumstances change and these conditions are met, the workplace becomes permanent immediately. Relief is only available up to the date expectations change.
• Accommodation costs. Relief is restricted to the employee’s own qualifying accommodation expenses. Where accommodation costs more because family members are staying, the employee must calculate and claim only the amount attributable to their own accommodation.

HMRC says the letters are intended to help taxpayers get their claims right and do not constitute a formal compliance check.

Recipients should carefully review their workplace travel claims when completing their 2025-26 self-assessment tax return. Anyone satisfied that their claim is correct does not need to take further action. We would be happy to help if you need any advice before submitting a return.