Tax treatment of nurses: expenses deductions: laundering uniforms: facilities provided by the employer
Sections 336 and 367 ITEPA 2003Nurses are permitted a deduction for the cost of laundering their uniforms only where they
must meet that cost themselves. Where facilities are provided by the employer no deduction can be given even if the nurse does not make use of those facilities. If the facilities are said to be inadequate, see EIM67230.
Instead of providing facilities employers sometimes contribute to the cost of laundering uniforms and the correct tax treatment of two common forms of help is explained below.
### Cash allowanceIf the employer pays a cash allowance towards the cost of laundering uniforms:
- PAYE should be operated on the cash allowance and
- nurses are entitled to a deduction for the cost of laundering uniforms.Where the laundry allowance does not exceed the amount of the deduction, it can be made without operating PAYE.
Laundry tokensIf the employer provides laundry tokens:
- the tokens are a taxable benefit and
- nurses are entitled to a deduction for the cost of laundering uniforms.Where the taxable benefit does not exceed the amount of the deduction, it may be appropriate to give a dispensation. Where a dispensation is given no deduction can be permitted for the cost of laundering uniforms up to the amount dispensed.