Mobile worker sustenance allowance proof

ChrisRH85

Hi all this my first post so excuse me if I’m not particularly eloquent.I’m a mobile worker,I’m entitled to claim for tax relief on food and drink whilst at work.I’ve numerous colleagues who have done this.So I thought I would also , I’ve given all my details to a company that deal with this sort of thing (who my colleagues have used) and they sent a figure a 1/10th of everybody else’s.So I said it’s not worth claiming.They said I need receipts for everything otherwise I cannot claim.I’ve since been approached by another tax company who same work and they’ve told me I don’t need receipts up to £10/day claim.The first company have said they’ve done my returns.Who is correct and what can I do if the first company has lost me approx £2-£2.5K thanks for any advise.

Pennywise

The HMRC website shows the scale rates for which receipts/proof isn't required:-

https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim05231

But claiming for subsistence/meals isn't something that everyone can claim for.  You can't claim for doing your "normal job", i.e. you can't claim for a normal working day doing your normal daily routine.  They're claimable only for when you're doing something different, i.e. temporarily working in a different area, or travel for a training course, or temporarily working away from your normal workplace.

Was either of the firms you've talked to properly qualified/regulated by an accountancy or tax professional body?  There are a lot of cowboys doing tax reclaims so you have to be careful who you engage.

ChrisRH85

Thank you for your advise, can I name the companies that are involved that may help you knowing if they are reputable or not

Jeremy535897

There is some guidance here:

https://www.in-accountancy.co.uk/2020/09/subsistence-allowance-how-to-reduce-that-mound-of-receipts/

KingOfSnake

Pennywise said:

The HMRC website shows the scale rates for which receipts/proof isn't required:-

https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim05231

But claiming for subsistence/meals isn't something that everyone can claim for.  You can't claim for doing your "normal job", i.e. you can't claim for a normal working day doing your normal daily routine.  They're claimable only for when you're doing something different, i.e. temporarily working in a different area, or travel for a training course, or temporarily working away from your normal workplace.

Was either of the firms you've talked to properly qualified/regulated by an accountancy or tax professional body?  There are a lot of cowboys doing tax reclaims so you have to be careful who you engage.

There is quite a marked difference between an employer paying unvouched subsistence within the scale rate regime and employees claiming tax relief. The scale rate payments are for payments that would deductible - i.e. they are not treated as general earnings (Chapter 7A of Part 4 ITEPA) and not for claiming tax relief (Chapter 2 of Part 5). The scale rates are for payments not reliefs. As such, you would need to substantiate the expenditure you incurred whilst travelling - this does not have to be formal receipts, but bank statements or daily notes made of expenditure will usually suffice. This is to make sure you didn't, for example, make your sandwiches at home and take them with you - as there would not be any expense incurred whilst travelling, they would be incurred prior to the business journey.  There are round sum deduction scale rates available to lorry drivers (£2.00 per day I seem to remember from a few years ago) which is probably why your claim is a fraction of the other's claims.