Another 2 year rule question

[MrsGoof]

ginge' you don't mind me calling you that do you?

It's not about employers or your situation it's all about YOU and the LOCATION

see her for details http://www.hmrc.gov.uk//manuals/eimanual/EIM32080.htm

IIf you were at 1 customer in the City of London then moved to another in a different building HMRC still class this as the same locartion so you only get allowable expences for 24 months, or the pint when you know you will be there >24 months.

[gingerjedi]

their

I knew I had made a mistake as like most here I am typing undercover and cant be bothered to check my spelling/grammer I just didnt think anyone would be pedantic enough to point it out... nothing better to do??!!

I used to post on here quite regularly and I still recognize all the old names but I lost my account details so Im a 'noob' again, wasn't there a guy with 2 BMW 750's and another guy who was a bible basher?

I was talking about personal expenses BTW.

[Pondlife]

I thought this was about 'personal' expenses and allowances, i.e. It has nothing to do with who your employer is - it's about expenses you inccur when working away from your usual place of work (regardless of employer). Much like mileage, you personally can claim 40p per mile for the first 10K then 10p after as a total - not per contract/job/employer. The same is true for accomodation expenses - after travelliing to London from whereever for 2 years, London becomes your 'usual' workplace regardless of how many different contracts (or employers) you've had there.

This is my understanding but IANAA

[Bradley]

Confused

So when the department is outsourced to a private company assuming they want me would that count? would i need to move agency?

Before I answer can you tell confirm that you currently operate through your own company?

[Fleetwood]

and therefore by there own rules

their

[gingerjedi]

So when the department is outsourced to a private company assuming they want me would that count? would i need to move agency?

[Bradley]

60% Rule

nope, that won't do. HMRC guidance is that any break needs to be for a period of at least 6 months in order to re-set the 2 year rule clock. However, if you go to the HMRC website and search for 2-year rule, then it will give you all the details, plus examples.

I think that the break would need to be 14.4 months or 60% of 24 months to re-set the clock. 6 months won't do.

Of course you could always change employer ....

[gingerjedi]

My case is particularly ironic as i am working for a gov department that is being outsourced in the near future and therefore by there own rules they are not allowed to fill posts with employees so they are backfilling with contractors!

[gingerjedi]

So Gordon Brown can treat me as an employee when it suits him for the purpose of tax but with none of the rights a 'proper' employee would have.

[XLMonkey]

What if i get another contract for a month or so and go back?

nope, that won't do. HMRC guidance is that any break needs to be for a period of at least 6 months in order to re-set the 2 year rule clock. However, if you go to the HMRC website and search for 2-year rule, then it will give you all the details, plus examples.

[malvolio]

All it means is that you can't claim travel and accomodation costs for working there after two years because it has become your "normal place of work".You don't have to leave if you don't want to. Potenitally putting yourself out of work seems a damn sily way to save expense claims

And are you another one of those who pay umbrellas to look after your business and then don't ask them to explain the rules they're working to?

[gingerjedi]

What if i get another contract for a month or so and go back?

If the worst comes to the worst can i just continue with my umbrella sans expensess? I know this may seem an alien concept to some of the regs on here but i do realy like it here and the pay compares favourably (guv work) to what i would get elsewhere which more than makes up for the loss of expensess.

[malvolio]

Erm, no. Same location, and same client so it has predominately been your place of work. If you were off-site for roughly 40% of the time, you can ignore it but not otherwise. Details are buried somewhere on the HMRC website if you want to dig it out.

And what's "employment" then...?

[gingerjedi]

I have been on the same site for nearly 2 years but the contracts i have had have varied between 1 and 3 months with 'breaks' in between one of which was 5 weeks, my agency told me not to worry as each contract has had different managers and assignments and I have not had continuous employment, is he right?