Self assessment form for expenses??

Loobysaver

My boyfriend works for a small company (under 10 staff) and is paid under PAYE system. His expense bill each month is pretty high, about £1000 as he works away a lot.

He submits his expenses claim each month to get reimbursed,.

Anyhow, now the tax office are sending him letters saying his tax code is wrong and that he has to fill in a self assessment form. They mentioned somthing about only being able to reclaim £3,000 expenses for the year with the code the accountant uses??

Can anyone advise. He is on the normal personal tax code and all his expenses are purely busines related i.e accommodation, sustinence, consumables. How can the IR say that he he has to pay tax on his expenses?

pjclar02

If he is just being reimbursed expenses incurred, then this should have no impact on his PAYE code. Presumably your boyfriend gets a P11d from the company declaring these expense reimbursements?

You need to check that HMRC are not including these as adjustments to his PAYE code (which has been known to happen)