Home broadband

Conditions

• Sole traders claim a fair business proportion of the broadband cost, apportioned by genuine business use (the private-use share is excluded). A proportion can be claimed even where the household would have broadband anyway — the self-employed test is proportional, not 'additional cost only'.
• A limited company paying for a director's home broadband should consider whether a taxable benefit-in-kind arises; this usually depends on the contract being in the company's name and the extent of private use, so the position is conditional on the arrangement.
• Employees cannot claim tax relief for home broadband: HMRC treats it as a mixed private-and-business cost. Separately, the employee working-from-home tax relief has been abolished for the 2026–27 tax year, so no working-from-home household-cost claim is available. (Source: www.gov.uk/tax-relief-for-employees/working-at-home)

Common mistakes

• Claiming 100% of a home broadband bill that the household would pay anyway.
• An employee assuming they can claim part of their broadband for working from home — they cannot, and the wider working-from-home relief has ended for 2026–27.

What to keep

• Broadband bills and a reasonable basis for the business proportion.

Real-world example

A sole trader uses their home broadband for both work and family use. They claim a fair business proportion rather than the entire bill. An employee in the same position cannot claim anything for broadband.

Frequently asked

Related allowances