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It is surprising how many people ask us about this! The answer to this question depends if you are self employed or a director/employee of a business…..

Self Employed

• Eye test – As you are not required to follow the Health & Safety Regulations being self employed and it is difficult to claim that the eye test is wholly, exclusively and necessary for work as there is a general health benefit to having regular eye tests then unfortunately this is not an allowable expense.

• Cost of glasses – if they are for general purpose then it is unlikely you can claim the full cost. However, if the glasses are used purely for work with a Visual Display Unit (VDU) then it may be possible to argue that the cost is wholly, exclusively and necessarily to enable you to trade as a business. Or another example is a scuba diver instructor who requires prescription goggles to carry out their lessons, so the cost of those goggles can be claimed as an expense to the business. If the instructor also uses the goggles for weekend trips to search for treasure in sunken ships then there would be a personal element to add back!

Director/Employee of a business

• Eye test – where your work duties include the use of a VDU then under the Health and Safety (Display Screen Equipment) Regulations 1992 you must legally be provided with a free eye test by the business. As this is a legal requirement the costs are deemed a non taxable benefit for you as an employee so no PAYE or NI will arise. Also for the business it will be an allowable expense to reduce down the trading profits. So good news!!

• Glasses – if you require glasses purely for the use of VDU then the full cost should be paid by the business. However if you are prescribed glasses for general use but it includes a special prescription for the use of a VDU then only the proportion of the cost of the glasses relating to the special prescription will be a non taxable benefit under HMRC guidance. Be careful though as if the full amount is paid (i.e. not just the special prescription) then a benefit in kind will arise meaning Class 1A NI will be payable!

If you would like to check how the above information affects your business then contact us.

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