Are Mechanics Being Ripped Off On Tax
Mechanics get a rough ride. They are often portrayed as modern cowboys and rip-off merchants. The truth is that they are being ripped off by the taxman. The vast majority buy their own tools and are missing out on tax refunds. It is not small change either. The average mechanic's tool refund is over £800.
Why don't they know about it? Many people believe the Government will refund overpaid tax. Sadly, this is not true and it is an individual's responsibility to claim their tax back. Mechanics have a lot in common with hairdressers, though many won't thank you for mentioning it. In both cases, staff are expected to supply the tools of their trade. Unlike combs and clippers, however, a mechanic's tools can easily exceed £2000 per year.
As cars become more technical, so do the tools needed to keep them running. What they might not realise is that a tax refund is available on that spend. How much is it worth? Time to suck my teeth and tap my clipboard: that depends on how much the mechanic has spent. According to Refunds Direct, a tax refund company, the average refund is £800 and is typically 15-20% of the total outlay on tools. Incredibly, claiming this refund is an easy process - there's no need to be daunted by the tax system. 'No win, No Fee services that takes all of the taxing work out of tax work are available. Mike Oaten, director in charge of the service, explains: "There are an estimated 180,000 mechanics in the UK and I believe the vast majority are affected by this. The Revenue has no responsibility to hand the money back and unless people act now millions and millions of pounds are going to stay in the taxman's pocket." "I am pleased to say that our service is proving to be a great help. We are sending out cheques every day to people who would otherwise miss out.
" Are you eligible? * Do you buy your own tools and has your employer not reimbursed you? * Have you spent more than £2000 in total since you started buying your own tools. * Claims can only be made with the original receipts or a customer statement including a description of the tool, price and the date it was bought. Most suppliers can easily run a statement off for you.