inside IR35 travel rebilled

[kiwilondon99]

did a quick search - lots on T&S but seemingly not on this aspect

given the nature of some roles - Director +shareholder of own PSC falls within IR35

needs to travel to client sites in say EU + USA - jumps a plane pays hotels etc through own ltd co/PSC ie is ex uk several days / month

rebilling the client is not an issue [ travels with a client representative ] and client pays

Question 1 : no agency involved billing direct to Client, relates to- inside IR35 - does this invoiced Travel Value, now become a taxable [ less 5%] to be included within the deemed payment calc or is it true + allowable as T&E&S business cost and excluded from deemed payment calculation

Question 2 : if the above had an agency interceding between PSC and CLient what would the position be - agency would deduct tax on travel..???


hope there is experience and knowledge post April
had a number of widely contradictory [ theoretical] comments - not much use/help !!

thanks in advance..K

[northernladuk]

Do you have an accountant? What was their response?

[missinggreenfields]

Question 1 : no agency involved billing direct to Client, relates to- inside IR35 - does this invoiced Travel Value, now become a taxable [ less 5%] to be included within the deemed payment calc or is it true + allowable as T&E&S business cost and excluded from deemed payment calculation

No, because it's overseas travel, which is an exemption from the changes to the legislation on travel and subsistence expenses.

Question 2 : if the above had an agency interceding between PSC and CLient what would the position be - agency would deduct tax on travel..???

As above - overseas travel is a deductable expense.