Car vandalised whilst at ClientCo - Repairs reimbursable?

[pacontracting]

That's what insurance is for.

It's not his employer's fault he decided on such a large excess for his car insurance policy. He could have chosen to have £0 excess.

I see your point but I disagree. From my point of view - any activity that places me (as the employee) in a position of loss outside my normal, personal lifestyle (i.e. while on business) is the responsibility of my employer (my Co). My Co is therefore liable. You hear many incidents of employees suing their employers for all sorts. I don't see any difference in this case. Obviously, fake claims etc are not on and if this incident really did happen as stated - I would have no issue as a company director or authorising payment to the employee.

[pacontracting]

FFS, this is like arguing with AtW

Fair point. We can all agree to disagree and at the end of the day, it's the HMRC inspector that has to listen to the argument and decide whether they are happy to allow the expense or not. I do feel strongly that just because you are a contractor - you shouldn't have to suffer loss while on business (i.e. having to pay for stuff yourself when it's your Co that should be paying). Equally, I'll go the other way and say that wide-screen TV in your living room is not a business expense!

[DiscoStu]

I see your point but I disagree. From my point of view - any activity that places me (as the employee) in a position of loss outside my normal, personal lifestyle (i.e. while on business) is the responsibility of my employer (my Co). My Co is therefore liable. You hear many incidents of employees suing their employers for all sorts. I don't see any difference in this case. Obviously, fake claims etc are not on and if this incident really did happen as stated - I would have no issue as a company director or authorising payment to the employee.

My car got dirty when I went to visit a client. Also I spilt a Maccy D's milkshake on the passenger seat while I was there.

Can I claim for a valet cos my car wouldn't be dirty or have putrid strawberry milkshake on the seat if I hadn't gone?

[stek]

I usually deduce what a policy covers by reading the policy. It's usually pretty clear whether the policy you are buying covers business use. I'm happy for you to suggest a personal policy that covers business use by default (apart from Direct Line).

Do the majority of contractors think about this before they buy their policy? I hope they do and specify business use as part of the application process but I'm sure there are those that don't.

It's not business tho is since you are an employee like anyone else. It's travel to work.

[stek]

I see your point but I disagree. From my point of view - any activity that places me (as the employee) in a position of loss outside my normal, personal lifestyle (i.e. while on business) is the responsibility of my employer (my Co). My Co is therefore liable. You hear many incidents of employees suing their employers for all sorts. I don't see any difference in this case. Obviously, fake claims etc are not on and if this incident really did happen as stated - I would have no issue as a company director or authorising payment to the employee.

It's not business tho is since you are an employee like anyone else. It's travel to work. Again...

[pacontracting]

It's not business tho is since you are an employee like anyone else. It's travel to work. Again...

I think post no: 37 covers this comment. (not my words though!)

[pacontracting]

My car got dirty when I went to visit a client. Also I spilt a Maccy D's milkshake on the passenger seat while I was there.

Can I claim for a valet cos my car wouldn't be dirty or have putrid strawberry milkshake on the seat if I hadn't gone?

Blimey - lawyers must have a field day with you lot.

That's your fault - not a loss you suffered. If someone else does something while you are about your employers business - you can claim. If you are just stupid - you can't. ;-)

[Contreras]

Fair point. We can all agree to disagree and at the end of the day, it's the HMRC inspector that has to listen to the argument and decide whether they are happy to allow the expense or not. I do feel strongly that just because you are a contractor - you shouldn't have to suffer loss while on business (i.e. having to pay for stuff yourself when it's your Co that should be paying). Equally, I'll go the other way and say that wide-screen TV in your living room is not a business expense!

What loss? You don't get it, do you. Just because HMRC won't allow the expense as deductible doesn't mean the company can't pay for it. This same rule applies whether the company is Mega Corp. Ltd. or One Man & His Dog Ltd.

[TheCyclingProgrammer]

I guess most policies cover drivers for 'social, domestic and commuting'. Neither of these cover travelling to a client site if you are claiming business mileage. You are either commuting or you are not.

Mind covers be for business use. Don't think I've seen it not offered. I think there are different classes of business use but it barely increases my premium.

[TheCyclingProgrammer]

What loss? You don't get it, do you. Just because HMRC won't allow the expense as deductible doesn't mean the company can't pay for it. This same rule applies whether the company is Mega Corp. Ltd. or One Man & His Dog Ltd.

WHS. Of course your company can reimburse you for your losses and I'm sure many would in this scenario. The point is there is no tax relief available on such payments - use of your own car is covered by AMAPs - so any reimbursement will be taxed.

If you're an employee then despite being taxed you'd probably be pretty happy if your employee covered your loss as you're only losing out a little bit (you just pay the tax, the repair bill is covered).

But it's pretty pointless of it's your own company reimbursing you.