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  • FIRST POST
    • TipsyTaylor
    • By TipsyTaylor 11th Oct 17, 12:36 PM
    • 48Posts
    • 6Thanks
    TipsyTaylor
    Claiming Travel Expenses
    • #1
    • 11th Oct 17, 12:36 PM
    Claiming Travel Expenses 11th Oct 17 at 12:36 PM
    Hello everyone,

    Apologies if this has already been covered elsewhere, but I cannot see a thread and the question is fairly specific, so I think I am OK.

    My wife is currently working freelance for two companies, with one covering her travel costs into the city (London) three days a week. She supplies the company with her train tickets, when she invoices them every two weeks, but are we able to still claim back the travel cost against her tax bill? We are able to show how much this has cost, as everything is paid with a card, but we do not have the physical ticket.

    Are we also affected if the company she is freelancing for are using the tickets to claim against their own tax?

    If we are not able to claim against this, is there any other advice anyone has? As the travel costs amount to about five and a half thousand pounds a year that is otherwise going to be viewed as part of her salary (I think?).

    Regards,

    Liam
Page 1
    • Darksparkle
    • By Darksparkle 11th Oct 17, 12:49 PM
    • 4,720 Posts
    • 2,980 Thanks
    Darksparkle
    • #2
    • 11th Oct 17, 12:49 PM
    • #2
    • 11th Oct 17, 12:49 PM
    This would be better suited for the cutting tax forum.
    • TipsyTaylor
    • By TipsyTaylor 11th Oct 17, 1:12 PM
    • 48 Posts
    • 6 Thanks
    TipsyTaylor
    • #3
    • 11th Oct 17, 1:12 PM
    • #3
    • 11th Oct 17, 1:12 PM
    Ah, OK. Thanks, I will post there. Can / should I delete this?
    • IAmWales
    • By IAmWales 11th Oct 17, 1:53 PM
    • 1,864 Posts
    • 3,869 Thanks
    IAmWales
    • #4
    • 11th Oct 17, 1:53 PM
    • #4
    • 11th Oct 17, 1:53 PM
    Expenses are not part of her taxable income/ salary.

    She cannot claim the train travel against her own tax because she is not incurring the cost.
    • TipsyTaylor
    • By TipsyTaylor 11th Oct 17, 2:12 PM
    • 48 Posts
    • 6 Thanks
    TipsyTaylor
    • #5
    • 11th Oct 17, 2:12 PM
    • #5
    • 11th Oct 17, 2:12 PM
    Expenses are not part of her taxable income/ salary.

    She cannot claim the train travel against her own tax because she is not incurring the cost.
    Originally posted by IAmWales
    So, we do not have to include this in her self-assessment? We can just include the actual day rate she has agreed?
    • IAmWales
    • By IAmWales 11th Oct 17, 2:27 PM
    • 1,864 Posts
    • 3,869 Thanks
    IAmWales
    • #6
    • 11th Oct 17, 2:27 PM
    • #6
    • 11th Oct 17, 2:27 PM
    So, we do not have to include this in her self-assessment? We can just include the actual day rate she has agreed?
    Originally posted by TipsyTaylor
    Yes, that's correct.

    It is a strange arrangement. With true self employment she would invoice the client at a rate that included her expenses and then deduct them herself. This seems a mix of self employment (invoicing, day rate) and employment (submitting tickets etc for expenses claim).
    • Darksparkle
    • By Darksparkle 11th Oct 17, 2:29 PM
    • 4,720 Posts
    • 2,980 Thanks
    Darksparkle
    • #7
    • 11th Oct 17, 2:29 PM
    • #7
    • 11th Oct 17, 2:29 PM
    You say on this post she’s freelancing but on the other your title says employer and employee.

    Is she employed or self employed?
    • TipsyTaylor
    • By TipsyTaylor 11th Oct 17, 2:35 PM
    • 48 Posts
    • 6 Thanks
    TipsyTaylor
    • #8
    • 11th Oct 17, 2:35 PM
    • #8
    • 11th Oct 17, 2:35 PM
    Yes, that's correct.

    It is a strange arrangement. With true self employment she would invoice the client at a rate that included her expenses and then deduct them herself. This seems a mix of self employment (invoicing, day rate) and employment (submitting tickets etc for expenses claim).
    Originally posted by IAmWales
    Thank you! It is a fairly strange arrangement, as she is 'freelancing' for a company she used to work full-time for and, now I understand the setup, I assume the FD is just being nice and making life easier for her. If there is ultimately no difference in the post-tax salary, this is fine by me!

    Final question...Is it as simple as me / her just not even mentioning the travel cost when I / she completes the tax return? Or does this need to be mentioned and HMRC take it into account? Am I now asking questions that will be ridiculously self-explanatory when I actually get around the completing the form (we are still currently jumping through hoops, trying to register. But, that's a different story...)
    • TipsyTaylor
    • By TipsyTaylor 11th Oct 17, 3:16 PM
    • 48 Posts
    • 6 Thanks
    TipsyTaylor
    • #9
    • 11th Oct 17, 3:16 PM
    • #9
    • 11th Oct 17, 3:16 PM
    You say on this post she’s freelancing but on the other your title says employer and employee.

    Is she employed or self employed?
    Originally posted by Darksparkle
    Sorry Darksparkle, I should have said something completely different (or actually, just left it as it was!). Force of habit of spending my entire working life PAYE. She is self-employed / freelance.
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