Originally posted by northernladuk
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Moving from umbrella to ltd on renewal
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The material prosperity of a nation is not an abiding possession; the deeds of its people are.
George Frederic Watts
http://en.wikipedia.org/wiki/Postman's_Park -
Originally posted by TheCyclingProgrammer View PostFurther to my earlier post, as I wasn't sure before but the 24 month rule will still kick in regardless if whether you change employer from a brolly to YourCo as it's a personal tax relief that applies directly to you (you have to claim the allowances on your tax return).- Joe works as permanent employee at bank #1.
- After 10 years Joe quits job at bank #1.
- Joe gets 6 month contract with bank #2 next door.
For how long can Joe claim travel expenses during the 6 month contract?
Me thinks it's all or nothing, and the same could be applied to going brolly->ltd.Last edited by Contreras; 18 June 2014, 09:20.Comment
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Originally posted by Contreras View PostWhat if, say:- Joe works as permanent employee at bank #1.
- After 10 years Joe quits job at bank #1.
- Joe gets 6 month contract with bank #2 next door.
For how long can Joe claim travel expenses during the 6 month contract?
Me thinks it's all or nothing, and the same could be applied to going brolly->ltd.The material prosperity of a nation is not an abiding possession; the deeds of its people are.
George Frederic Watts
http://en.wikipedia.org/wiki/Postman's_ParkComment
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Originally posted by speling bee View PostAlthough I think (someone could perhaps kindly confirm) that the 10,000 miles (for which you can claim 45p per mile before the 25p per mile rate kicks in) resets when you change employer.Last edited by TheCyclingProgrammer; 18 June 2014, 09:32.Comment
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Originally posted by TheCyclingProgrammer View PostEven if it did, that would still be separate to the 24 month rule I think so you still wouldn't be able to claim any mileage for that contract if caught by the 24 month rule. The limit may reset for other qualifying business travel though.
Q1 Is travel allowable as expense? (24 month rule, resets when location / journey substantially changes but not simply because employer changes)
If Yes:
Q2 What rate is mileage? (45p for 1st 10,000 miles, but this resets when employer changes even if location is the same)The material prosperity of a nation is not an abiding possession; the deeds of its people are.
George Frederic Watts
http://en.wikipedia.org/wiki/Postman's_ParkComment
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Originally posted by speling bee View PostOf course.
Q1 Is travel allowable as expense? (24 month rule, resets when location / journey substantially changes but not simply because employer changes)
If Yes:
Q2 What rate is mileage? (45p for 1st 10,000 miles, but this resets when employer changes even if location is the same)Last edited by TheCyclingProgrammer; 18 June 2014, 09:37.Comment
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Originally posted by Contreras View PostWhat if, say:- Joe works as permanent employee at bank #1.
- After 10 years Joe quits job at bank #1.
- Joe gets 6 month contract with bank #2 next door.
For how long can Joe claim travel expenses during the 6 month contract?
Me thinks it's all or nothing, and the same could be applied to going brolly->ltd.
However I'm not 100% certain; it just seems like the obvious conclusion when you consider the intent of the 24 month rule and why it works the way it does.Comment
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Originally posted by speling bee View PostSame journey. No claim (free of BIK).
Joe is considered to have already relocated for his job at bank #1. That's why he couldn't claim BIK free expenses at bank #1. Are we saying nonetheless that he can claim expenses with his new contract at bank #2 next door, BIK free, for 2 months only?Comment
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Originally posted by Contreras View PostAlright, now instead of 10 years permanent employment at bank #1, try 22 months permanent employment at bank #1.
Joe is considered to have already relocated for his job at bank #1. That's why he couldn't claim BIK free expenses at bank #1. Are we saying nonetheless that he can claim expenses with his new contract at bank #2 next door, BIK free, for 2 months only?The material prosperity of a nation is not an abiding possession; the deeds of its people are.
George Frederic Watts
http://en.wikipedia.org/wiki/Postman's_ParkComment
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Originally posted by speling bee View PostAlthough I think (someone could perhaps kindly confirm) that the 10,000 miles (for which you can claim 45p per mile before the 25p per mile rate kicks in) resets when you change employer.
However (as in the link) if the employments are associated with each other, the 10,000 can only be claimed once. HMRC use an example of companies in the same group in their example but I’d suggest that if you are travelling to the same location to do the same role then I'd think they could try to argue that the two employments would be associated in that circumstance too.
Originally posted by Contreras View PostWhat if, say:- Joe works as permanent employee at bank #1.
- After 10 years Joe quits job at bank #1.
- Joe gets 6 month contract with bank #2 next door.
For how long can Joe claim travel expenses during the 6 month contract?
Me thinks it's all or nothing, and the same could be applied to going brolly->ltd.
CraigComment
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