Budget 2014: Travel and Subsistence Expenses Review Promised

[matzie]

I'm reviewing the full Budget docs for anything relevant to us and I and spotted this:

2.213:
...
The government also intends to review the rules underlying the tax treatment of travel and subsistence expenses, and will call for evidence on remunerationpractices to inform any future reforms. (Future Finance Bill).

Just an FYI at this point.

[GB9]

I'm reviewing the full Budget docs for anything relevant to us and I and spotted this:

2.213:
...
The government also intends to review the rules underlying the tax treatment of travel and subsistence expenses, and will call for evidence on remunerationpractices to inform any future reforms. (Future Finance Bill).

Just an FYI at this point.

Good spot. Another blooming committee no doubt!

[SueEllen]

Good spot. Another blooming committee no doubt!

So it will either be no change, or a change to decrease the amount of time people can claim travel/subsidence to a temporary workplace so they can get more money.

[kevpuk]

I can't see it 'getting better', so staying as is or deteriorating is, sadly, likely.
That said, these things take time....

[LisaContractorUmbrella]

They've been going on about this for the last couple of years - can't see that they are likely to do much more than talk about it for the forseeable

[Craig at Nixon Williams]

On the subject of changing rules on Travel & Subsistence...I went on a PCG refresher course a couple of weeks ago and they were talking about a case that is going through at the moment that they think will be very relevant called Samadian.

It was about a doctor claiming travel from his home to one of his clinics. In this case, it was related to self-employed work that the doctor was doing but the crucial point from HMRC's perspective is that the doctor’s home office was not the only base of his business and so mileage claims couldn’t be made from there. There’s a good article about it here: HMRC wins Samadian mileage tribunal | AccountingWEB

[LisaContractorUmbrella]

On the subject of changing rules on Travel & Subsistence...I went on a PCG refresher course a couple of weeks ago and they were talking about a case that is going through at the moment that they think will be very relevant called Samadian.

It was about a doctor claiming travel from his home to one of his clinics. In this case, it was related to self-employed work that the doctor was doing but the crucial point from HMRC's perspective is that the doctor’s home office was not the only base of his business and so mileage claims couldn’t be made from there. There’s a good article about it here: HMRC wins Samadian mileage tribunal | AccountingWEB

That case went through about this time last year didn't it Craig?

[Craig at Nixon Williams]

That case went through about this time last year didn't it Craig?

That was the first tier tribunal. The upper tier tribunal was only recent, and also went in favour of HMRC.

The guys that ran the PCG course seemed to think that it could be very relevant when I was there a few weeks ago. If the government are looking to change the rules on travel expenses, as they have said yesterday then I can see how this ruling could indeed be very important in the future.