2 year rule

[mr magoo]

Hi

I've just secured a contract with a new client and have a question
regarding milage expenses.

The client I currently have a contract with (company A) has two sites in
the same town but on different sides of the town (site 1 and 2). As I have
spent more than 2 years at site 1, I don't claim any milage expenses.

The new contract is with a new company (company B) but the project I
will be involved in is working in conjunction with my current client
(company A) and I will mainly be based at company A's other site 2 albeit contracting with company B!

As this is a different site from where I have been for the last few years (i.e site 2 - approx 4 miles from site 1) but in the same town, can I now claim milage expenses for daily travel to site 2?

Hope this makes sense!!

[NotAllThere]

It depends if the journey you are making is substantially different. If you live 50 miles away then probably no.

[TheFaQQer]

As NAT says - depends on the journey, where you are coming from, and also the size of the town.

If the journey is pretty much similar, then no. e.g. if you are working for two clients both in "The City", then they count as the same location and so you can't claim the mileage once you know that you will be there for over two years.

[pmeswani]

As NAT says - depends on the journey, where you are coming from, and also the size of the town.

If the journey is pretty much similar, then no. e.g. if you are working for two clients both in "The City", then they count as the same location and so you can't claim the mileage once you know that you will be there for over two years.

Can I deduce from the above that the rule also applies to claiming food and other transport costs?

[TykeMerc]

Can I deduce from the above that the rule also applies to claiming food and other transport costs?

Yes if you pass or know you will pass 2 years in a geographically similar location where your travel is substantially the same then that's now regarded as your normal place of work and expenses aren't allowable against tax.