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Monthly railway ticket- can this be expensed?

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    Monthly railway ticket- can this be expensed?

    My accountant told me that I can't really expense the monthly ticket, as this could also be used for personal purposes. Pro-rata won't work as well. That all came as a nasty surprise to me...

    I'm commuting daily to my work, so I thought this is a legit business expense, and it's not small at all, around £250 per month.

    Any feedback on that really appreciated.

    #2
    Weekly Mon-Fri ticket?

    Comment


      #3
      Originally posted by skysies View Post
      My accountant told me that I can't really expense the monthly ticket, as this could also be used for personal purposes. Pro-rata won't work as well. That all came as a nasty surprise to me...

      I'm commuting daily to my work, so I thought this is a legit business expense, and it's not small at all, around £250 per month.

      Any feedback on that really appreciated.
      If the cost of the season ticket is lower than the cost of paying for individual journeys, and the workplace is temporary (see 24 month rule), then HMRC will accept it as a business expense.


      https://www.gov.uk/hmrc-internal-man...anual/eim16066

      IANAA

      Comment


        #4
        Whilst it could be argued that in theory you could use that ticket at weekends, it's cheaper than buying weekly tickets. You could also argue and tell your accountant there's scope for the client to potentially need you in the office at the weekends. I think they've got this wrong tbh.

        Comment


          #5
          Originally posted by mudskipper View Post
          If the cost of the season ticket is lower than the cost of paying for individual journeys, and the workplace is temporary (see 24 month rule), then HMRC will accept it as a business expense.


          https://www.gov.uk/hmrc-internal-man...anual/eim16066

          IANAA
          The daily ticket is definitely more expensive than the monthly, around 40% or so.

          Ok, then it seems the accountant got it wrong?

          Comment


            #6
            I'm not so sure 'wrong' is the word. If he says go ahead and you use it for significant personal use won't he get himself in trouble? Erring too much on the side of caution more than wrong surely?

            You are definitely not over or near the 24 month rule?
            'CUK forum personality of 2011 - Winner - Yes really!!!!

            Comment


              #7
              Originally posted by skysies View Post
              It seems the accountant got it wrong?
              We all make mistakes - it's human nature. I'll ask my accountants this afternoon and see what they say - I need to investigate trains to London anyway.

              Comment


                #8
                Originally posted by mattfx View Post
                We all make mistakes - it's human nature. I'll ask my accountants this afternoon and see what they say - I need to investigate trains to London anyway.
                Thanks mate, really appreciate it. Let us know here what your accountants say.

                Comment


                  #9
                  Originally posted by northernladuk View Post
                  I'm not so sure 'wrong' is the word. If he says go ahead and you use it for significant personal use won't he get himself in trouble? Erring too much on the side of caution more than wrong surely?

                  You are definitely not over or near the 24 month rule?
                  As long as the business use justifies purchasing a season ticket rather than individual tickets, then it's allowable. (subject to 24 month rule etc).

                  Comment


                    #10
                    Originally posted by mudskipper View Post
                    As long as the business use justifies purchasing a season ticket rather than individual tickets, then it's allowable. (subject to 24 month rule etc).
                    Inneresting. That actually makes some sense which is a nice change for HMRC.
                    'CUK forum personality of 2011 - Winner - Yes really!!!!

                    Comment

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