The 24 Month Rule in a nutshell

[console]

Thanks for the replys.

Final question from me on this then.

I make a claim for 24 months then my home office moves address, the end clinet remains the same but my daily commute from my business address is significantly different to the same end client.

Does the 24 month rule reset in these circumstances ?

Regards

[SeanT]

Thanks for the replys.

Final question from me on this then.

I make a claim for 24 months then my home office moves address, the end clinet remains the same but my daily commute from my business address is significantly different to the same end client.

Does the 24 month rule reset in these circumstances ?

Regards

I don't think so, but maybe you could follow in the footsteps of our MPs and simply claim for travel from the business address (which has stayed the same) to the new house. Although it'll have to be in a different area (i.e. county, region) right?

[malvolio]

Thanks for the replys.

Final question from me on this then.

I make a claim for 24 months then my home office moves address, the end clinet remains the same but my daily commute from my business address is significantly different to the same end client.

Does the 24 month rule reset in these circumstances ?

Regards

Perhaps.

As per the original post in this whole thread, "it's about the journey". If the journey changes, you would think the rule does. However there are several potential gotchas, such as should you only claim for the difference between old and new journeys, if the new journey is shorter should you claim at all since your costs have reduced and so on.

The main one though is that the client's work location after 24 months is deemed to be your permanent place of work (which is what this is all about after all) and that status hasn't changed, in which case you still can't claim. You would need to trawl through HMRC's website to find out the answer to that one, but I strongly suspect that you still can't claim.

[northernladyuk]

I don't think so, but maybe you could follow in the footsteps of our MPs and simply claim for travel from the business address (which has stayed the same) to the new house. Although it'll have to be in a different area (i.e. county, region) right?

Agreed. There may be a bit of confusion sown by the rules as IIRC there is reference to the journey. But this is really about determining whether the 24 months reset if your location of work moves a bit. The reality is that this rule is about where your permanent place of work is. And once you can reasonably expect that you will be there >24 months, then it is your permanent place of work, so you can't claim travel.

[MrBen]

Contract then falls below 40%

So what happens for example if you are inside the 40% rule after working at a client site for more than 2 years but continuing on the same contract you work at your homne office that then takes you below the 40% for the year? Does this mean you need to claim back all expenses for the year?

[the00]

24 month rule if working abroad

At the moment I am travelling every week to a client site in the EU. I don't expect it at the moment, but what if this situation extended past 24 months?

My business can claim travelling expenses from the client. I doubt there is any limit on that.

[Lance]

At the moment I am travelling every week to a client site in the EU. I don't expect it at the moment, but what if this situation extended past 24 months?

My business can claim travelling expenses from the client. I doubt there is any limit on that.

your business can claim what it likes from your client, for as long as it likes. What you can claim personally from your business is what the 24-month rule is all about.

You are more complex though as you may have tax liabilities in your client's country.
I think the 24-month rule still counts, in as much as if your tax liability is all UK based then the rule still stands.

[northernladuk]

At the moment I am travelling every week to a client site in the EU. I don't expect it at the moment, but what if this situation extended past 24 months?

My business can claim travelling expenses from the client. I doubt there is any limit on that.

I also doubt the client will pay for your personal travel just because you've hit a tax threshold.

[MidlandGig]

Same client/location but the contractor is relocated

Hi,

Need some guidance from the experts about this 24 months rule for claiming expenses, I've been on a contract since last 20 months at same contract and commuting/claiming for 15 miles journey to the client. But recently I've moved away (relocated) from the same client which made my journey to be 125 miles (one way) and accommodation expenses to pay.

Got the extension of the contract for another 6 months, but i'm not sure whether i can claim the mileages and accommodation (for 4 days near client)

Thanks for looking.

[malvolio]

Good evening, my name is Kelly and I am studying my third year of a BA Honours Accountancy course. As part of my third year I need to produce a research dissertation on any subject, the subject I have chosen is IR35, heist the reason for posting on Contractor UK.
I am hoping that a few nice contractors or freelancer can take a few moments to complete a questionnaire for me regarding IR35, any information given is completely anonymous and will only be used for my dissertation use.
This as been approved by admin 😊
Any questions please message me and thanks you for reading and taking part
Kelly 😉
https://docs.google.com/forms/d/e/1F...ULamA/viewform

Just a little curious about why the 24 month rule is relevant...?