Tax Planning

What Employers Need to Know About Expanded Workplace Benefits Relief from 6 April

New rules from 6 April 2026 allow employers to reimburse costs for eye tests, flu jabs and homeworking equipment tax-free—aligning with modern working practices.

By NomadicTax Research Team • 5-8 min read • May 6, 2026

## Overview of the Change Effective **6 April 2026**, the UK government expanded the relief available for certain workplace benefits. Employers can now reimburse employees tax and National Insurance–free for: - Eye tests required for Display Screen Equipment (DSE) users - Corrective appliances for Visual Display Unit (VDU) use - Seasonal flu vaccinations - Eligible homeworking equipment Previously, only direct provision (not reimbursement) qualified for relief; this change helps imbalance between hybrid, remote, and in-office work. ([gov.uk](https://www.gov.uk/government/publications/employer-bulletin-april-2026/april-2026-issue-of-the-employer-bulletin?utm_source=openai)) ## Why It Matters - Simplifies **payroll and expense handling** by removing the need for benefit-in-kind assessments where reimbursements meet conditions. - Offers fairer tax treatment for those working remotely or paying up front themselves. - Reduces administrative burden for both employers and employees. ## Practical Implications & Examples Imagine **TechCo Ltd.**, which has several remote employees who buy their own keyboards or laptops for homeworking. After 6 April 2026, **reimbursement** of that equipment (if eligible) is **not taxable**, and no Class 1 NICs are required—matching the treatment for direct provision. Another example: Lisa gets a flu jab voluntarily from her GP and submits a reimbursement claim to her employer. Under new rules, that cost is non-taxable. ## What Employers Should Do Now - Review employee handbook and expense policies to explicitly include the newly eligible items. - Communicate the changes to payroll, accounting, and HR teams. - Adjust payroll systems to avoid applying tax or NIC on reimbursements that meet the defined criteria. - Ensure that reimbursements relate to **use in employment duties**, with documentation kept in case HMRC questions eligibility. ## Things to Watch Out For - Reimbursements before 6 April 2026 still follow old rules—taxable unless direct provision. - Not all homeworking equipment will be eligible—must be used in the performance of duties and meet HMRC’s definition. - Benefit-in-kind arrangements still apply for other items not on the approved list. ## Key Takeaways - A welcome **alignment** with shifting work patterns and growing remote work trend. - Employers should update their policies and systems to take advantage of the relief while ensuring compliance. - Employees paying out-of-pocket no longer face unfair tax burdens for certain work-related costs.