Are reading glasses tax deductible? What HMRC says

As accountants, we often get asked whether reading glasses can be claimed as a business expense. The answer depends on how your business is set up and why the glasses are needed. HMRC does not treat ordinary reading glasses as automatically tax deductible just because you use them while working.

If you are self-employed, HMRC says that allowable expenses must be incurred wholly and exclusively for the purposes of the business. If there is a personal element, the cost will normally not qualify. HMRC’s guidance also says that spending on health is generally not allowable, because there is usually a private purpose as well as a business one.

That means that for most sole traders, ordinary reading glasses will usually not be deductible, even if they are used for reading emails, reviewing paperwork or working on a laptop. The reason is that they are normally considered a personal expense rather than a business-only cost.

The position is different if you run a limited company and the cost relates to an employee, including a director who is treated as an employee of the company. HMRC says that eye tests are exempt where they are required by health and safety legislation for employees who use a computer monitor or other screen. HMRC also says that glasses or contact lenses can be exempt if they have to be provided for monitor or screen work.

This is quite a narrow exemption. It applies where an eye test shows that the employee needs special corrective appliances specifically for screen use. If an ordinary prescription is suitable for general everyday use, the employer does not have to pay for the glasses under the display screen rules.

HMRC’s National Insurance guidance is also clear that where an eye test shows a general need for glasses, and not just a screen-specific need, the full cost is not automatically exempt. If the employer pays for glasses that go beyond the screen-related prescription, the excess can create a tax or NIC issue.

So in practice, the safest summary is this:

• If you are self-employed, ordinary reading glasses are usually not an allowable business expense.
• If you operate through a limited company, the company may be able to pay for an eye test for employees who use screens, and in some cases for special glasses needed solely for screen work.
• If the glasses are for general use and not just for screen work, the exemption usually will not fully apply.

It is also worth keeping good records. HMRC recommends keeping itemised receipts for the eye test and the prescription so that the screen-related element can be identified where needed.

If you are unsure whether your glasses or eye test can be claimed, it is best to look at the exact facts first rather than assuming the cost is deductible. The tax treatment can vary depending on whether you are self-employed, employed by your own company, or paying for an employee.