overseas travel - potential new clients

[wise]

Hi,

is is possible to claim travel expenses for meeting a potential new client?

thanks

[Sockpuppet]

Yes if its a true business trip. I.e. fly there, meet, fly back.

If it just so happens to be at the same time as your 2 weeks in the sun you're tulip out of luck. If you get investigated I'd expect HMRC to ask for at least some proof you met (Business card) name of company, address etc.

[Wanderer]

is is possible to claim travel expenses for meeting a potential new client?

The trip is supposed to be "wholly and exclusively for business purposes". If it's not then you may be able to claim a portion of the expense. Deductions: general rules: applying the wholly & exclusively rule

As ever, it's a grey area and some dishonest people will make a trip appear to be a business one when it's primary purpose is leisure. Of course, it could be quite difficult for HMRC to prove this. If you go booking a business class flight to Australia for yourself and your co-director/company secretary then you had better have a good cover story.

[Greg@CapitalCity]

Primary purpose

Look at the primary purpose of the trip. If is was to, say, Australia to meet clients about a potential new source of revenue for you business - perfect, go ahead and claim it. If you also have friends/family there, or want to take a break for a week and see the sights, that is fine - just don't expense any costs relating to that part of the journey.

Keep good records, keep your receipts, keep minutes of meetings to prove the purpose of the journey, and any relevant emails that explain the nature of the trip. Its a bit over the top for a business trip, but if you think the tax office may potentially query of the purpose of travel, have the documents to hand.