• Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
  • Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

You are not logged in or you do not have permission to access this page. This could be due to one of several reasons:

  • You are not logged in. If you are already registered, fill in the form below to log in, or follow the "Sign Up" link to register a new account.
  • You may not have sufficient privileges to access this page. Are you trying to edit someone else's post, access administrative features or some other privileged system?
  • If you are trying to post, the administrator may have disabled your account, or it may be awaiting activation.

Previously on "Claiming employee expenses through Ltd company"

Collapse

  • cojak
    replied
    Done.

    Leave a comment:


  • TykeMerc
    replied
    Originally posted by SueEllen View Post
    Pondlife and myself aren't crazy we were actually answering a post that was moved to accounting.
    I think he duplicated then later deleted the first post in this thread. It could do with a Mod merger really.

    Leave a comment:


  • SueEllen
    replied
    Originally posted by northernladuk View Post
    What does your accountant say?

    He's asking us so he can ask his accountant something intelligent.

    Leave a comment:


  • SueEllen
    replied
    Pondlife and myself aren't crazy we were actually answering a post that was moved to accounting.

    Leave a comment:


  • northernladuk
    replied
    What does your accountant say?

    Leave a comment:


  • stek
    replied
    How does paying an employee expenses attract business?

    Leave a comment:


  • TheCyclingProgrammer
    replied
    I'm confused. Is this person actually an employee (on the payroll) or are they a freelancer? It's not clear what exactly you are asking.

    If they are an employee you can pay them whatever expenses you like and the same rules regarding whether they are exempt from tax, a BIK or something the employee can claim for on their tax return, apply to them as they apply to you. Chances are, you'll need to complete a P11D.

    If they are a freelancer then they should invoice you for any agreed expenses just as you would one of your clients.

    Regarding travel/subsistence claims specifically, where is your employees normal, permanent place of work and where are they travelling to?
    Last edited by TheCyclingProgrammer; 8 February 2015, 17:01.

    Leave a comment:


  • Pondlife
    replied
    How many paid days of holiday are you giving your employee?

    Leave a comment:


  • SueEllen
    replied
    BTW if you post serious questions in General you open yourself up to abuse. General is for fun not specific accounting/business/legal questions.

    The best forum for this is accounting.

    I would ask a moderator to move the question so you get a better reply from the accountants who frequent the board.

    Leave a comment:


  • SueEllen
    replied
    Yep.

    I would suggest you put a limit on how much your employee can claim for each item, the proof they need and how and when you will reimburse them. Then put all this in writing as part of the terms of their contract of employment, otherwise you will end up with an employee who takes the p*ss.

    I use to work for consultancy's who had to do this. One got to the point that they were calculating people's mileage due to someone grossly over claiming.

    There were HMRC booklets on this now some of the information is on direct.gov. So if you google you can find the specific tax information you need.

    This is a link to booklet 480 - linky Expenses and Benefits guide

    This is a link to booklet 490 - linky Employee travel a tax and NI guide.

    Also be aware that if you don't offer to reimburse all the employee's mileage and working from home costs, they can claim tax relief on it through self assessment or a specific form.

    The employee uses form P87 if they are a low tax rate earner or the claim is under £2,500 otherwise they have to do self-assessment.
    Last edited by SueEllen; 8 February 2015, 22:23.

    Leave a comment:


  • jubilee
    started a topic Claiming employee expenses through Ltd company

    Claiming employee expenses through Ltd company

    Hi there

    I have an employee for my Ltd company who freelances. Note: This person is NOT a Director or Shareholder of the Company.

    Can I still claim expenses (e.g. sustenance [travel/food]) given the work is not done from the usual place of work?

    As a Director and Company owner, from my perspective I offer this as a perk (paid for expenses to Employee) to attract business and widen the work I can take on.

    Company has:
    x1 Director
    x1 Employee

    Thoughts?

Working...
X