Under the proposed changes, those working from home would not be able to claim expenses such as internet, electricity and mobile separately using the popular shortcut method, which sets out a flat rate for hours worked at home, rather than calculating the actual costs.
Before the Covid pandemic measures were put in, people could claim 52 cents as a fixed rate for the hours they worked from home, claiming each of the designated expenses separately. During the pandemic, an 80 cents flat rate was temporarily introduced which bundled those expenses.
The draft guidance cuts the shortcut rate to 67 cents, but again bundles the expenses together.
If adopted, it leaves people who work from home with two choices – they can either claim the “actual” expenses incurred, which would require meticulous paperwork, or claim the 67 cents flat-rate shortcut, which would mean foregoing separate claims on expenses such as stationery, communications and power.
Read more at The Guardian
