Travel expenses - change of location (4miles)

[opc]

Rolls-Royce in Derby?

[Bob Jones]

I have covered this at http://www.contractoralliance.co.uk/...-to-site.phtml As I say in that article the reason for the introduction of this rule was one of anti avoidance. Previous posts in this thread have answered the question correctly in that if, say, you are 50 miles away and are moved 4 miles from that location the journey will be substantially the same but if you work 1 mile west of home and are transfered 3 miles east the journey is entirely different and will qualify as a change of location. The rule of thumb used by HMRC is a difference of more than 10 miles - but that doesn't necessarily work where, as in the previous example, the person lives close to the workplaces -- say a journey starts 200 miles away and the workplace is moved 11 miles the journey could be 95% the same and yet it would qualify as it is more than 10 miles - it is an example of a rule that had to be introduced to prevent tax avoidance but on occasions it becomes unworkable. I have a number of similar problem cases under enquiry with HMRC at the moment - they are (unfortunately lower division) professional and semi professional footballers who have various training venues - - for example. a club has two training venues one 7 miles east of the home ground and the other 5 miles west of the home ground .. from where do you measure the 10 miles???? If the player attends training ground A, then the following day attends the home ground for a match and then attends training ground B no journey is more than 10 miles from the previously attended workplace - but if the player goes to training ground A and the following day goes to training ground B then there is a difference of more than 10 miles .. so the whole situation becomes unworkable .. .I have an appointment in February with the Special Civil Investgation department of HMRC to try to iron out these problems and arrive at a workable solution. HMRC do pick up these cases - occasionally- or in the case of footballers very very occasionally ... I will update the Con Alliance website when I have something further to report ..
Bob

[TykeMerc]

Not neceseraly.

If the OP was commuting 0.5 miles and now will be commuting 4.5 miles then it is a substantially different journey. IMO.

However if the change is 50 miles to 54 then it isn't.

I had thought of citing that kind of example, but since it would amount to £1.60 a trip I assumed that it could be neglected by both the contractor and HMRC

[TheFaQQer]

The (admittedly very poorly defined rule) is that if the journey is substantially the same in direction, duration and distance then the 24 month rule applies. As soon as you're aware that you're likely to cross 24 months then you should stop expense claims.

A 4 mile difference in the same town is substantially the same trip so the rule applies.

WHS - if the journey is substantially different, then claim it. If it isn't, then don't.

[chris79]

If it was me I would claim it and just leave it up to the f**kers to prove you wrong. Then again I pay for business legal cover for such events...

[BolshieBastard]

Basically if i have a contact for 2 years, during this time claiming traveling expenses, and then sign another contact with the same company for a year but moving offices 4 miles away, would you still be able to claim the traveling tempory workplace expenses?

I imagine not!

Just claim it!

HMRC have to spot it first! If you work through an umbrella, they normally stop you claiming even if you're in the same county with a different client so, you'd be stuffed.

If you have your own ltd, just claim it. I did. Never been queried by HMRC either.

[Fred Bloggs]

I agree, 2 miles north or 2 miles south are completely different journeys so allowed. 200 miles, turn left for 2 miles and 200 miles, turn right for 2 miles are substantially the same journey hence disallowed.

[blacjac]

The (admittedly very poorly defined rule) is that if the journey is substantially the same in direction, duration and distance then the 24 month rule applies. As soon as you're aware that you're likely to cross 24 months then you should stop expense claims.

A 4 mile difference in the same town is substantially the same trip so the rule applies.

Not neceseraly.

If the OP was commuting 0.5 miles and now will be commuting 4.5 miles then it is a substantially different journey. IMO.

However if the change is 50 miles to 54 then it isn't.

[TykeMerc]

The (admittedly very poorly defined rule) is that if the journey is substantially the same in direction, duration and distance then the 24 month rule applies. As soon as you're aware that you're likely to cross 24 months then you should stop expense claims.

A 4 mile difference in the same town is substantially the same trip so the rule applies.

[moorfield]

You imagine right unfortunately chrisl The 24 month rule would apply as the distance you will be travelling will not be changing 'significantly' from one contract to the other

If that 4 miles happens to straddle a national, county, council border or ticket pricing zone etc. you might be able to argue the toss.

[foritisme]

You imagine right unfortunately chrisl The 24 month rule would apply as the distance you will be travelling will not be changing 'significantly' from one contract to the other

Is that the only condition ? I live in North Wales and the distance to South Wales and Newcastle is the same for me

[LisaContractorUmbrella]

Basically if i have a contact for 2 years, during this time claiming traveling expenses, and then sign another contact with the same company for a year but moving offices 4 miles away, would you still be able to claim the traveling tempory workplace expenses?

I imagine not!

You imagine right unfortunately chrisl The 24 month rule would apply as the distance you will be travelling will not be changing 'significantly' from one contract to the other

[chrisl]

Basically if i have a contact for 2 years, during this time claiming traveling expenses, and then sign another contact with the same company for a year but moving offices 4 miles away, would you still be able to claim the traveling tempory workplace expenses?

I imagine not!