24 month rule again

[speling bee]

I suggest you go and look up The Ramsay Principle.

HTH

Will let NLUK do it and report back.

[ASB]

It's nothing to do with business travel, it's to do with personal tax liability. If someone pays you travel expenses personally, you have to consider the rules. If they don't - i.e. if they cover the cost themselves or YourCo recovers its costs via an invoice, and no money transfers to your personal bank account, then there cannot be a BIK.

Tosh.

It can still be BIK. Strictly speaking BIK can be provided by anybody to anybody. In practices it's not likely to be reported.

A client could, for example, pay for travel to your temporary workspace by providing a ticket or whatever. The fact that is is paid in this way make no difference at all to whether it is BIK.

[ASB]

I now have a new contract with a base outside London, but travel to London once a week. The train ticket is paid for by the client and booked through their system. Does a BIK charge arise from this, when it is the client, not my Ltd paying for it?

The work in London has, in my opinion, ceased to be continuous on the face of what you ware saying, as such the 24 month rule has become irrelevant.

A new temporary workplace in Birmingham means the travel to London is now to a different temporary workplace and is not likely to be subject to the 24 month rule. However it is possible it is; think 40% and whether you should be applying a rolling period.

EIM32080 - Travel expenses: travel for necessary attendance: definitions: temporary workplace: limited duration, the 24 month rule

Who or how it is paid for is irrelevant, in practice, since the ticket is being booked by the client it is unlikely that anything will come of it.

[TheFaQQer]

I suggest you go and look up The Ramsay Principle.

HTH

Comes down to the burden of proof, surely. How can someone prove that by negotiating that the client pays for travel expenses in return for a lower daily rate is an attempt to avoid tax rather than a legitimate business negotiation?

If the client picks up the tab for travel, then they have an incentive to reduce the amount of travel you do, in order to save costs. You have an incentive to reduce the travel because you can be near home, plus you remove the uncertainty of any change in cost of travel. Sounds to me like good business practice rather than an attempt to avoid any BIK.