Claiming Expenses

ChopsMcgee_2

I work away from home and am entitled to claim fixed amounts for breakfast, dinner and tea.

The 3 ammounts add up to £26 which is usually enough to cover the days expenses.

Our company has recently issued a memo which states that they will no longer pay breakfast if our hotel bill states "Accomodation and Breakfast".

Generally we leave before breakfast is served, so we would have normally stated on the reciept that we had not taken breakfast.

Now, we are told that the tax office will check up on this fact, so they are doing it to protect us in the long run.

A few questions,

1. Is this correct?

2. Can anyone provide information / sources for tax allowances in regard to meals away from home etc etc.

3. Other companies similar to our own, give their employees a fixed amount to cover food and hotel costs. Can anyone offer information on tax guidelines for these figures.

thanks in advance! :beer:

Chops

Mikeyorks

ChopsMcgee wrote: »

1. Is this correct?

Depends on whether your employer uses the HMRC 'benchmark' rates or not. If they don't they're required to sample some of the claims as evidence to HMRC.

2. Can anyone provide information / sources for tax allowances in regard to meals away from home etc etc.

3. Other companies similar to our own, give their employees a fixed amount to cover food and hotel costs. Can anyone offer information on tax guidelines for these figures.

....... both questions are the same? HMRC info :

http://www.hmrc.gov.uk/manuals/eimanual/EIM05231.htm

ChopsMcgee_2

Mikeyorks wrote: »

Depends on whether your employer uses the HMRC 'benchmark' rates or not. If they don't they're required to sample some of the claims as evidence to HMRC.



....... both questions are the same? HMRC info :

At the moment we do not supply any reciepts, so I doubt examples are given.

We generally claim £5 for breakfast, if we start work before 8am

£6 for lunch, if we work until after 1400

and the remaining £15 for our evening meal if we work after 1800 or are away from home (hotel).

Am I right in thinking that we are following the two meal rule, followed by £15 because we are away from home?

Also if this were to be increased we would simply need to prove that we are spending these ammounts?

Finally, would the `taxman` even be insterested in light of the fact that we are only being paid benchmark figures?

Sorry for the questions, its all a bit complicated for me! :-)

ChopsMcgee_2

Also

Overnight subsistence rate - A benchmark rate has not been set for overnight subsistence. It will still be necessary to agree a rate, if applicable, with the employer.

Am I right in thinking that if we were to ask for a `fixed ammount` to cover hotel / food then there is not benchmark as such, we would simply need to agree an ammount with our employer?

BoGoF

ChopsMcgee wrote: »

Also

Overnight subsistence rate - A benchmark rate has not been set for overnight subsistence. It will still be necessary to agree a rate, if applicable, with the employer.

Am I right in thinking that if we were to ask for a `fixed ammount` to cover hotel / food then there is not benchmark as such, we would simply need to agree an ammount with our employer?

No, the employer would need to agree an amount with HMRC