Reply to: Subsistence

[TheCyclingProgrammer]

Yes - you would still need to prove the expense was incurred, but not report it on the P11D.

If you get a scale rate agreed, then I don't think you need to keep the receipts.

Yes that's right. I had no problem getting a reporting dispensation but I was always under the impression that getting a scale rate dispensation was trickier for one-man companies (they are normally designed for umbrellas and the like). If you can get one, fair enough although depending on where you work (*cough* London *cough*) I guess the rates might not always cover your lunch!

[oliverson]

Yes - you would still need to prove the expense was incurred, but not report it on the P11D.

If you get a scale rate agreed, then I don't think you need to keep the receipts.

It's the latter that we agreed.

[TheFaQQer]

I don't think a dispensation gurantees you do not need receipts. It would mean not having to report on a P11D and claim in self assessment, so greatly reduces the chance of it being challenged, but HMRC could still challenge if they found out and ask for receipts I think.

Yes - you would still need to prove the expense was incurred, but not report it on the P11D.

If you get a scale rate agreed, then I don't think you need to keep the receipts.

[TheCyclingProgrammer]

You may be able to apply for a 'dispensation', in which case you won't need receipts. Talk to your accountant (when you get one!).

I don't think a dispensation gurantees you do not need receipts. It would mean not having to report on a P11D and claim in self assessment, so greatly reduces the chance of it being challenged, but HMRC could still challenge if they found out and ask for receipts I think.

[oliverson]

You may be able to apply for a 'dispensation', in which case you won't need receipts. Talk to your accountant (when you get one!).

[TheFaQQer]

I just hope a friend told you that.....

Nope - USB hub and a mouse.

Why pay more?

[northernladuk]

Poundworld manage to do it without quibble.

I just hope a friend told you that.....

[TheFaQQer]

Exactly what I was thinking. Maybe it's a shop you are only paying a couple of quid for something. If so is it really worth the hassle of claiming. It's not like claiming it through the company makes it free.

Poundworld manage to do it without quibble.

I'll confess to putting a £2 claim in last month, but I couldn't be bothered to actually pay the money out to me, as I had nothing else owing and it seemed a hassle to log into internet banking just to get my £2 back.

[TheFaQQer]

Pret give receipts if you ask them. All chains do.

Even small independent shops give receipts if you ask them.

They are aware that some people can expense things through their business/employer and want customers like this.

When I was working late in London on one project, I used to call in for a kebab every so often. They struggled to get the till working each time, but always managed to print me a receipt.

Another place used to just grab a scrap of paper, stamp their name on it and write the price on it.

I've never been told that they can't provide a receipt.

[northernladuk]

What kind of shop has the facility to take credit card payments for a sandwich, but not to issue a receipt?

I would ask them to write one by hand, but then I can be a bit of a g1t.

Exactly what I was thinking. Maybe it's a shop you are only paying a couple of quid for something. If so is it really worth the hassle of claiming. It's not like claiming it through the company makes it free.

[SueEllen]

I have FRS - so no need for VAT receipts. Thanks for that.

Statement from my business bank credit card sufficient then? I mean, if the statement entry says, Pret 2.40 during Mon-Fri during my contract, surely I won't need to keep extra paper receipt to prove my purchase. It's already on the statement that I purchased.

Pret give receipts if you ask them. All chains do.

Even small independent shops give receipts if you ask them.

They are aware that some people can expense things through their business/employer and want customers like this.

[TheCyclingProgrammer]

I have FRS - so no need for VAT receipts. Thanks for that.

Statement from my business bank credit card sufficient then? I mean, if the statement entry says, Pret 2.40 during Mon-Fri during my contract, surely I won't need to keep extra paper receipt to prove my purchase. It's already on the statement that I purchased.

If it really came down to it in an audit, this should be fine. You can show you were on-site that day (timesheets/travel records etc.) and its clearly a food outlet. HMIT is unlikely to quibble over a sandwich you bought just because you don't have an actual receipt - they have evidence that you spent the money.

You are presumably getting receipts for your card payment so you can keep these too even though they won't say what you bought, they will have the retailer name on.

[JRCT]

What kind of shop has the facility to take credit card payments for a sandwich, but not to issue a receipt?

I would ask them to write one by hand, but then I can be a bit of a g1t.

[maxedvolume]

I have FRS - so no need for VAT receipts. Thanks for that.

Statement from my business bank credit card sufficient then? I mean, if the statement entry says, Pret 2.40 during Mon-Fri during my contract, surely I won't need to keep extra paper receipt to prove my purchase. It's already on the statement that I purchased.

[SueEllen]

Sorry, no FRS. I'll have a look.

Do you have an accountant?

I suggest if you don't have one get one asap as for most contractors it's advantageous to be on the flat rate scheme. They will also answer the questions you are asking on here.