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Tax relief on subsistence

Hi,

I am wondering if anyone could help/ point me in the right direction to see if i am able to get any tax relief while working away from home.

I currently own a property (with mortgage) in the north west but work in Cambridge, so 200 miles away. I travel this by getting a train to London then up to Cambridge.

I am living in a house share in Cambridge through the week and travel back home every weekend. Getting to Cambridge on Sunday night, before work, and coming home Friday.

The company i work for gives me tax free Subsistence amount for each day i am away from home. I presumed this covered me for everything.

I have heard off someone that i could be able to claim tax back on food for £10 per day at work (2 x £5 meals).

I was wondering if anyone more informed could clarify this and are there any other tax relief options? eg travel?

I am PAYE and in the lower tax bracket

Thanks.

Comments

  • unforeseen
    unforeseen Posts: 7,472 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Is Cambridge your permanent place of employment?
  • Travel and subsistence is only tax deductible for business journeys and travel to and from a temporary workplace subject to the 24 month rule.

    From what you say it sounds like this is your permanent workplace so no tax relief is available and any expenses will be subject to tax and NI.
  • jimmo
    jimmo Posts: 2,287 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    From what you say it sounds like this is your permanent workplace.....and any expenses will be subject to tax and NI.
    Not necessarily if the OP works in the building and construction industry.
    https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim50605
  • MDMD
    MDMD Posts: 1,673 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Hi,

    I am wondering if anyone could help/ point me in the right direction to see if i am able to get any tax relief while working away from home.

    I currently own a property (with mortgage) in the north west but work in Cambridge, so 200 miles away. I travel this by getting a train to London then up to Cambridge.

    I am living in a house share in Cambridge through the week and travel back home every weekend. Getting to Cambridge on Sunday night, before work, and coming home Friday.

    The company i work for gives me tax free Subsistence amount for each day i am away from home. I presumed this covered me for everything.

    I have heard off someone that i could be able to claim tax back on food for £10 per day at work (2 x £5 meals).

    I was wondering if anyone more informed could clarify this and are there any other tax relief options? eg travel?

    I am PAYE and in the lower tax bracket

    Thanks.

    They may be referring to the scale rate payments. https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim05231

    The rules are very prescriptive, in particular you can't claim tax relief twice
  • Yes it is subject to the 24month rule i have been here for close to 12 months.

    it is classed as temporary place of work, and jimmo is correct i am a quantity surveyor in the construction industry.

    Is there a form to fill out? As i have always been PAYE i have very little knowledge of what to do.
  • Darksparkle
    Darksparkle Posts: 5,465 Forumite
    So your employer is currently giving you an allowance tax free for subsistence?

    Is this a round sum? Do you need to show receipts?

    Who is paying for the travel?
  • WHA
    WHA Posts: 1,359 Forumite
    Yes it is subject to the 24month rule i have been here for close to 12 months.

    it is classed as temporary place of work, and jimmo is correct i am a quantity surveyor in the construction industry.

    Is there a form to fill out? As i have always been PAYE i have very little knowledge of what to do.

    You do realise that the 24 month rule kicks in at the point where you "expect" to be there 24 months, and not when you've actually been there 24 months. So, if, say, having been there just over a year, you sign up to a contract for another year, at that moment, you "expect" to be there more than 24 months so the 24 month rule kicks in just after 12 months meaning no more tax relief of T&S.
  • Darksparkle - They pay £80 for every night preceeding work up to maximum of 5 nights. No reciepts needed but need to provide proof of rent when starting the process.

    For travel an allowance is given extra onto wage of a certain amount. I go over this allowance for trains.

    WHA - I should be leaving before i meet the 24 months
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