I have a client (IT consultant Limited Company) who claims home to client site travel and also associated subsistence. He rarely works more than 3 months at any site (pre launch testing work he does so no long term contracts) and every contract he gets approved by QDOS as I had advised previously so IR35 is (as they confirm compliance) not an area of concern.
What has changed though is his eating habits…….
Historically he would claim the off lunch/coffees as that was all he spent – I had asked him and he had always made his own lunch from home.
Recently – last year’s data I have just received – his lunch/subsistence claims have risen dramatically. He now claims every day (yes he has all receipts) and the daily average is £16 (covers breakfast and coffee after he gets off the train, lunch and the odd costa during the day as well.
I have read other posts in the past confirming the if travel is allowable so too is subsistence I am just “concerned” (and probably unnecessarily) as the figure is so high - £3k in 12 months as oppoed £700 the year before!
If anyone who can provide a reassuring “there there no need to worry – just because he has an expensive habit it is not an issue”. I recall an old (probably 15 year ago) HMRC inspection on a client when the inspector said they worked to a £5 rule of thumb – if subsistence was under £5 they ignored it – if over they looked further. Not saying they would find anything or it is right but you know how you always doubt yourself…. !!