GPs – are you claiming expenses when relocating for work?

Moving house is an expensive operation which not many people undertake more than a few times in their lives. But as a Doctor, moving around the country to further your career is a very real prospect.

Fortunately, Doctors can claim expenses for moving due to their employment, including the reimbursement of removal expenses, legal costs, and other services.

Some relocation costs up to £8,000 are exempt from reporting and paying tax and National Insurance (NI) – known as “qualifying” costs.

According to the British Medical Association (BMA), these types of expenses include:

  • Legal fees in connection with the acquisition of a new residence (including Stamp Duty Land Tax).
  • Providing replacement domestic goods.
  • Legal fees in connection with the disposal of a former residence.
  • Costs of transporting belongings including temporary storage costs.
  • Travel and subsistence (T&S) for the employee and family to visit the new area. This could include travel costs paid by the NHS in lieu of relocation where there is a valid reason why the relocation to the new place of work cannot take place immediately.

However, these are only “qualifying costs” when:

  • A new employee is moving area to start a job with you.
  • An existing employee is changing their place of work within your organisation.
  • The costs are paid before the end of the tax year following the one in which the move took place.
  • The employee’s new home is reasonably close to the workplace and their old home is not.

For qualifying costs over £8,000, doctors may have to report and pay tax and National Insurance.

For more information about the services Haslers can provide to GPs and other medical professionals, please contact us.