If you have not
claimed tax relief previously and this is your first tax return, you can do so
for the current tax year and also backdate a claim for the previous four tax
years.
You may be
eligible to claim tax relief on:
- Membership fees
- NMC registration fees
- Uniforms (including shoes
and tights)
- Laundry costs for your uniform.
If you subscribe
to Nursing Standard this is also eligible for tax relief.
How much you can
claim will depend on a number of factors including how much your annual fees
cost and your tax situation. As a guide, members who are UK tax payers can
claim up to 20% on their RCN membership fees.
What are my options as a Nurse
| Operate through a Limited Company | Working through PAYE Umbrella |
| Positive Points to be happy with | Positive Points to be happy with |
| The most tax efficient way of performing the work | Easy to use and operate |
| Can claim a variety of expenses | All taxes and NI contributions are deducted in advance |
| Registration under VAT flat rate scheme and subsequent benefits | Suitable for short term contracts |
| Complete control of your financial matters | Suitable for short term contracts less than 25K per year |
| Easy to run as long as you have a good accountant to do the necessary things in the right way | Good if you are unsure if contracting is for you and you're really just in between permanent jobs. |
| Availability of tax planning opportunities | Agency will do the paper work for you and you will have no tax planning opportunities available |
| Things to know a bit further | Things to know a bit further |
| Time to arrange your paper work and other administration tasks | Your final payment will be subject to PAYE and NI |
| Can be expensive at times especially if a lot of short -term work is carried out. | Umbrella company will collect the money from the client |
| Might not be suitable for contracts less than £25k per year. | No paper work to arrange or admin work to be performed |