Reply to: 2 year rule

[XLMonkey]

An interesting, if somewhat worrying topic.
I'd always interpreted the rule as 'the point at which you have spent (or know you are going to spend) 24 months at a certain location'.

Now I'm wondering if it should be 'the point at which you have spent (or know you are going to spend) over 40% of 24 months at a certain location'.

That's only 9 1/2 months.


Oh Dear.

nah, not to worry. The rule is "over a 24 month period, did you spend 40% or more of your time in the same location?"

it's the elapsed time that counts

[RSoles]

An interesting, if somewhat worrying topic.
I'd always interpreted the rule as 'the point at which you have spent (or know you are going to spend) 24 months at a certain location'.

Now I'm wondering if it should be 'the point at which you have spent (or know you are going to spend) over 40% of 24 months at a certain location'.

That's only 9 1/2 months.


Oh Dear.

[jason986]

Very interesting info, but luckily doesn't effect me because I've worked at many different sites including working from home 60/70% of the time. My initial worry that it was nothing to do with sites and location, just if it was the same client. Good.

[tim123]

Same client, same site, no breaks.

Otherwise, you're fine - especially with other clients in between.

Not true. A workplace can considered to be permanent (and thus the expenses are not claimable) even if there are breaks in between:

http://www.hmrc.gov.uk/manuals/eimanual/EIM32105.htm

There is a formula for how long a break needs to be to stop the workplace being the permanent one, but I can't find that information.

tim

[XLMonkey]

Same client, same site, no breaks.

Otherwise, you're fine - especially with other clients in between.

Err, not true (wish it were). There's a bunch of guidance about it on t'internet here.

http://www.hmrc.gov.uk/manuals/eimanual/EIM32075.htm

what counts is location, not client, and the test is generally spending 40% or more of your time at the location over a 24 month period. The IR thinks that a 6 month break is the minimum allowable (I think that's too long, but who am I to blow against the wind?)

[simes]

Same client, same site, no breaks.

Otherwise, you're fine - especially with other clients in between.

[milanbenes]

sorry mate

pecker up

how's it going ?

Milan.

[Fleetwood]

their different in oo abap
Milan.

they're

[PerlOfWisdom]

And each time it is usually at different client sites though the same office pays the bills.

It's the site that matters, not the client.

[MrsGoof]

IF your clients are close together like'The City' then they all count as the same in the 2 year rule, you need to be travelling to different places to take advantage of it.

[milanbenes]

ahh yes the power of glorious oo abap and abap classes

becareful with your internal tables, their different in oo abap

are you making bsp's ?

Milan.

[jason986]

Hi Milan,

Long time no speak! The 2 year rule is something I've noticed on this forum a few times. Latest being that you can't claim travelling expenses once you have been at the clients for more than 2 years. But I think its deeper than that.

The villa was great. We have just moved back to the UK again after one year in Spain. Had a great time. Kids now speak fluent Spanish (not bad for 4 year old!). Came back because I was doing a lot of work for IBM in the UK and the travelling was killing me. No home working allowed by the client

Back working in Holland agin for the next few months. Homeworking definately allowed

How is .Net going? SAP Developers still going strong! Now moved onto ECC5.0 which is more Java based so trying to get my head round the classes and methods instead of normal abap.

[milanbenes]

what's the two year rule ?

hello Jason, how's life in the villa ?

You still doing SE80 in Holland ?

Milan.

[Bovvered]

If ur working for another client you should laughing all the way to the piggy bank.

[jason986]

2 year

Sizeable.... Between 3 months and 6 months in the Offs.

And working for another client for the Offs.