Reply to: Business expense? Insurance for driving in Eire

[Jessica@WhiteFieldTax]

The doc says rates are for Dublin, elsewhere in Ireland actuals plus €4, unless I'm going blind.

Can't afford to pay myself those expenses anyway!!

Sorry, more speed less hate... You're right.

[stek]

Jesus, I knew it was expensive in Dublin but £10 for a pie is a bit steep.

Not in Dublin - just paid €6.40 for a pint of Peroni.....

[stek]

Business expense? Insurance for driving in Eire

Almost - you can only use the Eur148 Room rate outside of Dublin, inside Dublin it must be actual room rate.

Other than that, yes, its a good deal - and you can also claim PIE £10 as well.

The doc says rates are for Dublin, elsewhere in Ireland actuals plus €4, unless I'm going blind.

Can't afford to pay myself those expenses anyway!!

[northernladuk]

Almost - you can only use the Eur148 Room rate outside of Dublin, inside Dublin it must be actual room rate.

Other than that, yes, its a good deal - and you can also claim PIE £10 as well.

Jesus, I knew it was expensive in Dublin but £10 for a pie is a bit steep.

[Jessica@WhiteFieldTax]

So, according to this document:

HMRC agreed in January 2008 that employers may use benchmark rates published on the HMRC website when paying accommodation and subsistence expenses to employees whose duties require them to travel abroad, without the need for the employees to produce expenses receipts.

According to HMRC's World Wide Subsistence Rates, stek's company can pay him €148.00 room rate plus €98.50 incidentals = €246.50 tax free per day to cover his expenses?

Sounds too good to be true...

Almost - you can only use the Eur148 Room rate outside of Dublin, inside Dublin it must be actual room rate.

Other than that, yes, its a good deal - and you can also claim PIE £10 as well.

[stek]

Business expense? Insurance for driving in Eire

Oh yes please!!

[Wanderer]

No, I can't see any restriction on the benchmarks being claimed, and no need to have a dispensation or other agreement with HMRC in place.

So, according to this document:

HMRC agreed in January 2008 that employers may use benchmark rates published on the HMRC website when paying accommodation and subsistence expenses to employees whose duties require them to travel abroad, without the need for the employees to produce expenses receipts.

According to HMRC's World Wide Subsistence Rates, stek's company can pay him €148.00 room rate plus €98.50 incidentals = €246.50 tax free per day to cover his expenses?

Sounds too good to be true...

[stek]

Business expense? Insurance for driving in Eire

Update, got EU cover, works out at about a quid a day from current insurer, but it's lumped in with my existing policy payments so no way of splitting it off, but for a quid it's not really worth it.

Ill be driving to ferry port to the house I rent here in Dublin, don't drive to place of work, it's only 20 mins walk (15 mins drive in Dublin traffic), not sure where that stands re SDP etc...

[ASB]

Ducks for cover.

1. In general the 90 day EU use provided by most policies does NOT cover business use, it is SDP. I appreciate this is an argument the OP is currently having with the insurer.

2. If the above the case then the additional payment is to provide specifically business cover for this specific purpose. In this circumstance there is no duality of purpose.

3. Generally HMIT would say this is all covered by the mileage allowance. But check 7.10 and 11 of booklet 490. This states:-

7.11 An employee who goes abroad to work can also get relief for medical treatment provided abroad, or insurance against the cost of medical treatment provided abroad, where these expenses are borne or reimbursed by, or on behalf of, their employer.

Whilst this is not detailing vehicle insurance and is fairly specific, does it not provide an argument that it established a principle that specific extra costs are by default claimable ?

Ok, the argument might not be won, but no claim no gain.....

[northernladuk]

Just got a quote from Saga (I know!) unlimited EU'ing, business too, obviously bit more but not bad, bout 30 a mo extra, prolly best to take the hit on that, but claim 23 miles around the M50 the sat nav took me, instead of the 8 miles on the R132 or whatever it was which is less and quicker to place or work...

Personally this is how I would have worked it. Dublin (assumption) is a right bitch to drive around, sometimes the longer route can be quicker, particularly if those road works means a detour is required

[LisaContractorUmbrella]

Not sure you can apply the 'wholly & exclusively' argument to insurance that will cover you throughout Europe - surely there has to be duality of purpose.

Mind you am not sure HMR&C would argue for the sake of E43 but you may be 'named and shamed' - they seem quite keen on that at the mo

[Jessica@WhiteFieldTax]

Jessica, can someone working abroad claim the scale rate expenses payments or do they need to apply for a dispensation first?

Oddly this conversation came up with a client last week, and in the context of Eire. Small world.

No, I can't see any restriction on the benchmarks being claimed, and no need to have a dispensation or other agreement with HMRC in place.

[Wanderer]

There is duality of purpose since I could nip to the shop in the car....

If you hired a car while you were there and then used it to go to the shop then would you consider that a duality of purpose too?

I say claim the whole amount because the "personal or private consequences are purely incidental" therefore there is no duality of purpose.

Jessica, can someone working abroad claim the scale rate expenses payments or do they need to apply for a dispensation first?

[stek]

Business expense? Insurance for driving in Eire

Just got a quote from Saga (I know!) unlimited EU'ing, business too, obviously bit more but not bad, bout 30 a mo extra, prolly best to take the hit on that, but claim 23 miles around the M50 the sat nav took me, instead of the 8 miles on the R132 or whatever it was which is less and quicker to place or work...

[Jessica@WhiteFieldTax]

In reality I doubt anyone would really care - put it through. The debate on whether its in the mileage rate is really like angels on pinheads.

NB - I appreciate I'm not entering into spirit of thread