Clarification on "2 year rule"

[Sockpuppet]

Yep the answer is 2.


Sockpuppet in "this isn't yahoo answers" mode.

[ThirstyFerret]

Hi Guys, does anyone know if the 2 year rule applies if you are working for a different company but they are in the same building as the first company you worked for? If it does still apply and you will breach the 2 years are you supposed to pay back the money from the point the last contract was signed?

[Ardesco]

Hi Guys, does anyone know if the 2 year rule applies if you are working for a different company but they are in the same building as the first company you worked for? If it does still apply and you will breach the 2 years are you supposed to pay back the money from the point the last contract was signed?

Yes it applies if you work for two different clients but they are located in the same building.

[DS24]

Yes it applies if you work for two different clients but they are located in the same building.

It can even be expanded further than just in the same building. For example, if you worked for different clients within the City, it could be argued that they are all the same place in terms of whether you can claim the expenses or not.

OK, the City might be a bit vague - if they were different clients on the same business park, for example, then HMRC would probably argue successfully that those are the same place for the two year rule.

HTH.

[Crossroads]

No "probably" about it. HMRC will class the Square Mile as the same site, regardless of client.

[SueEllen]

I

OK, the City might be a bit vague - if they were different clients on the same business park, for example, then HMRC would probably argue successfully that those are the same place for the two year rule.

HTH.

This was discussed before (can't be bothered to search) and you were right with your first conclusion - if the clients are more or less in the same geographical area then you can't claim. So you can't claim for 2 workplaces in the city if it takes you over the 24 month rule.

http://www.hmrc.gov.uk/manuals/eimanual/EIM32080.htm

"This rule is modified where the employee works at a succession of workplaces but the change of workplace has no substantial effect on the employee's journey to work. All such workplaces are treated as the same workplace for the purpose of the legislation, see EIM32280 and example EIM32089. "

And this explains it better: http://www.hmrc.gov.uk/manuals/eimanual/EIM32089.htm

[Chugnut]

No "probably" about it. HMRC will class the Square Mile as the same site, regardless of client.

Surely they differentiate between the Square Mile, Victoria, Canary Wharf? Or are they all viewed as "that London"?

I would need to use the tube to get to Canary Wharf in addition to the main line station currently used to get to Cannon Street. I would say this has a "substantial effect on the employee's journey to work" - in terms of cost and duration. Hector may think otherwise, he usually does.

[Crossroads]

Surely they differentiate between the Square Mile, Victoria, Canary Wharf? Or are they all viewed as "that London"?

I would need to use the tube to get to Canary Wharf in addition to the main line station currently used to get to Cannon Street. I would say this has a "substantial effect on the employee's journey to work" - in terms of cost and duration. Hector may think otherwise, he usually does.

I would agree with you on that one.

[too_many_details]

is there a way to "reset" the clock? Eg, take a break of a defined period or do another contract and then return?

My current contract is in 3 month renewals and I may be here a while...


R

[Ardesco]

is there a way to "reset" the clock? Eg, take a break of a defined period or do another contract and then return?

My current contract is in 3 month renewals and I may be here a while...


R

You can quite happily do another contract and then return.