Reply to: Giant won't accept receipted claims for evening meals with overnight stay - why?

[LisaContractorUmbrella]

The only polite thing I can say about that is bull.

Well quite

[SueEllen]

"professional service firms that second staff to clients will not be caught by the new rules as their business is not substantially in the supply of labour"

The only polite thing I can say about that is bull.

[LisaContractorUmbrella]

Thanks for the reply Lisa.

That just leaves more questions. What happens to contractors contracted into consultancies? Currently many are on similar expenses deals. What is the legal definition of a consultancy that sets them apart? What will stop umbrellas morphing into "consultancies"?

Sounds very badly thought through and ill advised. Why should I take a role far away from home if I have to spend taxed money on the travel and accommodation? So it will reduce workforce mobility which is exactly what the country doesn't need.

Cheers

Sorry it took a while to reply CoolCat - have been away.

You're right it is badly thought out. As far as a legal definition of a consultancy is concerned, I have no idea - I don't know if there is one. HMRC's opinion is

"professional service firms that second staff to clients will not be caught by the new rules as their business is not substantially in the supply of labour"

I can see businesses going to considerable lengths to rebrand so that they can be considered as a consultancy and therefore strengthen their position in the market place

[CoolCat]

They're not but consultancies will be exempt from the new legislation. Possibly because they are involved in so many Public Sector contracts

Thanks for the reply Lisa.

That just leaves more questions. What happens to contractors contracted into consultancies? Currently many are on similar expenses deals. What is the legal definition of a consultancy that sets them apart? What will stop umbrellas morphing into "consultancies"?

Sounds very badly thought through and ill advised. Why should I take a role far away from home if I have to spend taxed money on the travel and accommodation? So it will reduce workforce mobility which is exactly what the country doesn't need.

Cheers

[LisaContractorUmbrella]

Well I've worked for a number of the big consultancies perm in the past. Generally they contract their consultants as home based contractually, and expense all their travel whenever they leave the home address - working on client sites and so on. How are umbrellas any different?

They're not but consultancies will be exempt from the new legislation. Possibly because they are involved in so many Public Sector contracts

[CoolCat]

Well I've worked for a number of the big consultancies perm in the past. Generally they contract their consultants as home based contractually, and expense all their travel whenever they leave the home address - working on client sites and so on. How are umbrellas any different?

[LisaContractorUmbrella]

Thank you, Lisa. An ... interesting development!

That's certainly one way of putting it

[threespines]

HMRC are proposing new legislation, which is currently under consultation, which means that if your client or agency or umbrella company has the right of supervision or direction or control over you, you won't be able to claim for tax relief against travel and subsistence costs from April 2016

Thank you, Lisa. An ... interesting development!

[LisaContractorUmbrella]

Please explain!

HMRC are proposing new legislation, which is currently under consultation, which means that if your client or agency or umbrella company has the right of supervision or direction or control over you, you won't be able to claim for tax relief against travel and subsistence costs from April 2016

[stek]

Please explain!

Search the site.

[threespines]

It's a temporary problem - after April 2016 you won't be claiming for hotel or expenses.

Please explain!

[mudskipper]

It's a temporary problem - after April 2016 you won't be claiming for hotel or expenses.

[SlipTheJab]

Go Ltd HTH.

[ASB]

They are your employer and can have whatever policy they like. Quite simple really.

obviously that policy, whatever it is, has consequences.

strictly whatever you receive in expenses payments is taxable income. The claimable expenses - which often match - are then an allowance reducing your tqxable income. Depending on circumstance thes may or may not need to he reported on your satr.

this is a lng winded wayof saying "what you have failed to claim from your employer can be claimed on your satr".

This at least gets the tax back. You are still effectively out of pocket by the ni though.

[unixman]

...an expenses claim for the B&B/hotel can be made (up to quite a generous limit) BUT a claim for...

I first read that as "an expenses claim for the B&B/hotel can be made up...", and was about to give a hot response on the subject of making up false expense claims, whoops...