Wow! can Prosperity4 really do this for me?

[BoredBloke]

But P4 do this! i thought you had to keep reciepts for this. So does that mean that I can claim anywhere between 0 and 24 per day for 2 years, so long as I vary the amount.

Hmmm random number generator dishing out numbers between 5 and 24 could be in the offing here.

I usually only put down about £5 max

[Ardesco]

I thought it was up to £12 without receipts. Mind you i let the accountant deal with all that, that's what he's paid for

[malvolio]

None of it is without receipts or other proof of purchase, such as a CC slip. P4's dispensation is for their tax returns, not yours.

They can't do anything you can't with your own company, or through any other umbrella. Now go and work out their charges, end-to-end. Then ask yourself why they need to advertise quite so agressively.

[Ardesco]

i thought it was up to £12 you could claim yourself without having to produce recipts. But then as I said I don't do this for a living so I am probably completely wrong.

[BoredBloke]

But the implication of their advertising is that you can claim these amounts without collecting reciepts and that the dispensation in some way covers the individual. So back to the original point, if the IR are aware of this practice, then why are they not clamping down on this type of advertising, or are they simply waiting until the bills are so large that they can financially cripple people but in so doing collect a lot of tax in fewer bigger hits?

The way I have treated this in the past is to put in what would be reasonable. Anything up to £5 is reasonable for lunch and anything over that would be an exception to the norm. These exceptions I collect reciepts for, the other I don't (but should really!)

[LisaContractorUmbrella]

Malvolio is correct. You should retain receipts for all your expenses. Contrary to popular belief a dispensation does not dictate the expenses that you can claim through your umbrella company. A dispensation is just a device to save the umbrella company time - without it we would need to fill in a P11D and submit receipts for each expense claim for each contractor. However, just because your umbrella company doesn't need to produce receipts does not mean to say that you will not. Some dispensations state a maximum that is claimable for each expense on the dispensation before the company must complete a P11D and produce receipts - hence the £24 maximum.

Hope this helps

[Torran]

None of it is without receipts or other proof of purchase, such as a CC slip. P4's dispensation is for their tax returns, not yours.

They can't do anything you can't with your own company, or through any other umbrella. Now go and work out their charges, end-to-end. Then ask yourself why they need to advertise quite so agressively.

I reckon you must be in triple figures with this statement now mate

Surely none of the highly intelligent members of this board would fall for something as amatuerish and nonsensical as the P4 blurb?

[malvolio]

Malvolio is correct. ...
Hope this helps

Rule 1: Malvolio is always right.

Rule 2: When Malvolio is wrong, rule 1 will apply.

[BoredBloke]

"Surely none of the highly intelligent members of this board would fall for something as amatuerish and nonsensical as the P4 blurb"

Not people on this board, but given the obviously large amounts they spend on advertising, i would say that plenty of others do fall for this. I just wondered why the IR have not done anything yet.

[zathras]

In my inbox today:

From: CWJobs.co.uk <cwjobs@newsletter.cwjobsmail.co.uk>
Subject: Now recruiting: Prosperity4

At CWJobs we want your contracting experience to be a good one. You can find out more about contracting in our contractor info section. Have a look at the services provided by Prosperity4, aimed specifically at contractors.
.....
Enjoy tax-free lunches - up to £24 a day(that's up to £5,760 a year), no receipts required
Travel to and from work on public transport tax-free - you'll be either 41% or 33% better off than other commuters

It's crap!

Seriously.

This is the old expenses scam.

you can only claim expenses that you have spent and they must be business related.

The IR do allow claims for lunches and dinner but you can claim for these via a limited company.

You need a reciept for your own self-assesment returns. P4 don't they have a nice dispensation from the IR, but you do n't. All the dispensation allows is not having to put the expenses on the P11D.

You cannot claim for day to day commutting but can claim for travel to clients when working away, but this is limited to 2 years. You can do this via a limited company.