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Subsistence

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    Subsistence

    So I’ve just started a contract where most of the shops around here don’t give out receipts. I’m still using my business bank credit card to buy subsistence… Is this going to cause problems when if I get audited?

    Or will my credit card statement be enough for HMRC – looking at the date/time when food was bought, matched up to my contract dates?

    I sometimes get those cardholder copy receipts – they’re useless aren’t they?

    #2
    If you are on FRS for VAT then you just need a proof of purchase so keep the card holder receipts and your statement.

    If you are not on the FRS then you need VAT receipts.

    The likelihood of getting audited for VAT or otherwise is unknown.
    "You’re just a bad memory who doesn’t know when to go away" JR

    Comment


      #3
      Originally posted by SueEllen View Post
      If you are on FRS for VAT then you just need a proof of purchase so keep the card holder receipts and your statement.

      If you are not on the FRS then you need VAT receipts.

      The likelihood of getting audited for VAT or otherwise is unknown.
      Can I take this moment to clarify - when I don't have a VAT receipt (or any receipt), I simply don't claim back the VAT. That's okay, isn't it?

      Comment


        #4
        Originally posted by vwdan View Post
        Can I take this moment to clarify - when I don't have a VAT receipt (or any receipt), I simply don't claim back the VAT. That's okay, isn't it?
        Are you on the Flat Rate Scheme or not?


        Edited to say: One of the accountants answered this a few weeks ago to clarify the matter so you can do a search via google for the answer.
        "You’re just a bad memory who doesn’t know when to go away" JR

        Comment


          #5
          Originally posted by SueEllen View Post
          Are you on the Flat Rate Scheme or not?


          Edited to say: One of the accountants answered this a few weeks ago to clarify the matter so you can do a search via google for the answer.
          Sorry, no FRS. I'll have a look.

          Comment


            #6
            Originally posted by vwdan View Post
            Sorry, no FRS. I'll have a look.
            Do you have an accountant?

            I suggest if you don't have one get one asap as for most contractors it's advantageous to be on the flat rate scheme. They will also answer the questions you are asking on here.
            "You’re just a bad memory who doesn’t know when to go away" JR

            Comment


              #7
              I have FRS - so no need for VAT receipts. Thanks for that.

              Statement from my business bank credit card sufficient then? I mean, if the statement entry says, Pret 2.40 during Mon-Fri during my contract, surely I won't need to keep extra paper receipt to prove my purchase. It's already on the statement that I purchased.

              Comment


                #8
                What kind of shop has the facility to take credit card payments for a sandwich, but not to issue a receipt?

                I would ask them to write one by hand, but then I can be a bit of a g1t.

                Comment


                  #9
                  Originally posted by maxedvolume View Post
                  I have FRS - so no need for VAT receipts. Thanks for that.

                  Statement from my business bank credit card sufficient then? I mean, if the statement entry says, Pret 2.40 during Mon-Fri during my contract, surely I won't need to keep extra paper receipt to prove my purchase. It's already on the statement that I purchased.
                  If it really came down to it in an audit, this should be fine. You can show you were on-site that day (timesheets/travel records etc.) and its clearly a food outlet. HMIT is unlikely to quibble over a sandwich you bought just because you don't have an actual receipt - they have evidence that you spent the money.

                  You are presumably getting receipts for your card payment so you can keep these too even though they won't say what you bought, they will have the retailer name on.

                  Comment


                    #10
                    Originally posted by maxedvolume View Post
                    I have FRS - so no need for VAT receipts. Thanks for that.

                    Statement from my business bank credit card sufficient then? I mean, if the statement entry says, Pret 2.40 during Mon-Fri during my contract, surely I won't need to keep extra paper receipt to prove my purchase. It's already on the statement that I purchased.
                    Pret give receipts if you ask them. All chains do.

                    Even small independent shops give receipts if you ask them.

                    They are aware that some people can expense things through their business/employer and want customers like this.
                    "You’re just a bad memory who doesn’t know when to go away" JR

                    Comment

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