Daily Subsistence

[Bluebird]

The bottom line is that if you incur an expense, then you need a reciept for it before you can even contemplate claiming for it.

You cannot claim any more than the reciepts you have.

Secondly, before you claim you need to check each reciept and judge whether you are entitled to it being reimbursed, if so claim and keep the aforementioned reciept, if not shread and bin.

Simple.

[basshead]

The SJD allowable expenses guide says this on the subject of subsistence:

ITEM: Specific Subsistence costs (ie hotel accommodation, drinks, meals etc).
ALLOWABLE: CORP./INCOME TAX: YES – when trip has a genuine business purpose up to a maximum of 2 years at the same site.
ALLOWABLE: INPUT VAT: YES – with VAT receipt up to a maximum of 2 years at the same site.

Confused now?

[malvolio]

The SJD allowable expenses guide says this on the subject of subsistence:

ITEM: Specific Subsistence costs (ie hotel accommodation, drinks, meals etc).
ALLOWABLE: CORP./INCOME TAX: YES – when trip has a genuine business purpose up to a maximum of 2 years at the same site.
ALLOWABLE: INPUT VAT: YES – with VAT receipt up to a maximum of 2 years at the same site.

Confused now?

No. Are you?

Or do you not understand "Subsistence" in that context as opposed to "unreceipted subsistence allowance for small purchases such as newspaers and phone calls that Hector will ignore for BIK purposes under certain circumstances provided you claim it accoring to his rules" which is what seems to confuse everyone else that asks this question?

[basshead]

No. Are you?

No.

But you can see how it is confusing when read next to:

"If you travel, from your home, to the same site each day you cannot claim a daily subsistence. The length of time you are away from home makes absolutely no difference at all.

If you are on the road all day and travelling from site to site you can claim a reasonable amount for your meals whilst you are travelling but you should keep receipts"

So I travel from home client to site every day, buy lunch, have a receipt. According to the SJD wording I can claim this expense for up to 2 years at the same site. According to Lisa's wording I cannot.

[Gonzo]

No.

But you can see how it is confusing when read next to:

"If you travel, from your home, to the same site each day you cannot claim a daily subsistence. The length of time you are away from home makes absolutely no difference at all.

If you are on the road all day and travelling from site to site you can claim a reasonable amount for your meals whilst you are travelling but you should keep receipts"

So I travel from home client to site every day, buy lunch, have a receipt. According to the SJD wording I can claim this expense for up to 2 years at the same site. According to Lisa's wording I cannot.

You are mixing up the fact that if you are working as a Ltd then you are travelling from your co's site to your client site each day, not from home to work.

Does that help?

[Bluebird]

I didn't think there was any legitimate "lunch" expense - whether you are permie and work at the same building for 25 years or contract and are on the road every day of the week - the fact of the matter is you have to eat.

Lunch is 'normally' taken on-site.

Evening meal is different, if you are away from home you incur an additional expense [ actually you do for working late as well ], but thats the point it's not you normal MO, so you incur something you wouldn't normally do so you can calim and get it reimbused from your employer [ which may or may may not be your own Ltd Co ].

[spiderlover]

James has gone quiet - looks like he's finally understood!!!!

Either that or he's in trouble for posting all day

[Lewis]

No.

But you can see how it is confusing when read next to:

"If you travel, from your home, to the same site each day you cannot claim a daily subsistence. The length of time you are away from home makes absolutely no difference at all.

If you are on the road all day and travelling from site to site you can claim a reasonable amount for your meals whilst you are travelling but you should keep receipts"

So I travel from home client to site every day, buy lunch, have a receipt. According to the SJD wording I can claim this expense for up to 2 years at the same site. According to Lisa's wording I cannot.

I have collegues with SJD I don't think they claim lunches.

[Damo1176]

I know this argument has been done to death but this is jsut a side note from an umbrella..

The nature of the contract between *umbrella* and contractor is of an over-arching nature. Based on this, HMRC accept that the short term contracts that a contractor works on are of a temporary nature. As they are of a temporary nature, and the contractors workplace is accepted to be as their home, a contractor is able to treat their journey to work as a business expense. Actual travel costs incurred can therefore be claimed.

This is the same with subsistence expenses, which can be claimed.

Based on the above, if people were to claim subsistence I think they'd have a valid arguemnt with the HMRC for the umbrella to take the rap for informing its employees that they were able to claim. THe above suggests that the rule of everyone must eat lunch regardless and the topic of home not being your registred ltd company address is neither here nor there. I get round this issue by taking a pack lunch therefore trying my hardest no to incur any additional cost to myself therefore not falling into this grey area. But considering this came from the head of customer service for them then if the HMRC were to come to the employee and state that you had claimed despite attending the same temporary workplace everyday and not being on the road going from site to site. Despite contacting a tax inspector I was no more informed by the end of the phone call.

I do admit however any company saying claim the max and don't worry about receipts is insane but another such company did say that it is appreciated that not everytime can you obtain a receipt therefore you could only claim up to their dispensation and no more.

[Euro-commuter]

I'm not being thick and not disputing the requirement for receipts I am disputing that Lisa and a few others have argued and that is you cannot claim subsistence unless you are away from home overnight, that by my last post is incorrect as HMRC's letter to Orange Genie states.

A dispensation letter has nothing to do with what you can and cannot claim.

Have you got that bit, that was put so clearly by Cowboy Bob?

Now what is your question (do not use the word "dispensation" anywhere) ?