Parasol subsistence allowance

**ferret** · 31 August 2009, 16:26

You can claim without providing receipts to the brolly but make sure you have the receipts in case you ever get investigated by HMRC. If you can't prove it then don't claim it.

**Gonzo** · 31 August 2009, 23:53

Originally posted by joeDaddy View Post

Hello

Having read about the daily subsistence allowance; I am still confused.

I am with Parasol and when joining I spoke to one of the advisors and he said that I could claim up to £15.00 per day if less than 10 hours.

On filling my expenses there is a calculator above the expenses form which tell's you how much you can claim without receipts

A 9-5:30 day I can claim £15 according to the site.

I this right?

Thank you

JD

OK, I'll fall for it.

Yes it is right.

Parasol have a dispensation so that you can put in your expense claims, up to £15 in this case, without providing them with receipts.

If HMRC ever audit your taxes they will be far less happy about you not having receipts to backup your expense claims.

Claiming money that you have not spent as expenses is tax fraud. HMRC take a dim view of that.

If you have genuinely incurred these expenses in the way specified by your umbrella company then at the moment you can claim them.

The current government don't like it because it gives a tax advantage that regular employees don't enjoy. They may or may not get round to putting a stop to it before they are booted out of office next year.

I think there is a sticky at the top of this forum that goes into more detail.

EDIT Here it is http://forums.contractoruk.com/accou...ensations.html

**Zippy** · 1 September 2009, 08:53

I really wouldn't do this if I were you - especially if you are not incurring the expense. Being asked to prove you spent 3 quid on a sandwich two years ago is going to be a real pain.

**original PM** · 1 September 2009, 11:28

As would being asked to prove you spent £15 quid on a sandwich.

They quote these figures so that when you use the calculator to giove estimated returns those returns look higher than they actually will be - as far as I am aware all brollies will do this with the returns calculations (even going as far to assume other expenses to make you return look even better)

best bit of advise - if you don't incur the expenses don't claim it and then see if you can put some realistic values in their calculators based on realistic expenses.

**LisaContractorUmbrella** · 1 September 2009, 11:42

At the end of the day whatever an umbrella company may advertise, you can only claim, as an expense, a cost that you have personally incurred that is entirely attributable to the contract. If you only claim what you spend, the only difference in your take home pay with ANY umbrella is going to be due to their fees and nothing else

Parasol subsistence allowance