Accomodation & BIK

Accomodation & BIK

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One man band limited company (based in the North of England) proviedes IT training services and is having to work more & more in the Thames Valley area.

Hotel costs have always been incurred by the company, but he is now considering purchasing a flat through the company and staying there when working in the South.

Would a BIK arise on the provision of this accomodation as it is available for private use, even if not actually used as such?

Would the costs of the accomodation be allowable for the company as they are ana alternative to hotel costs, as outlined in para 21.22 of HMRC's Expenses & Benefits Guide 480?

Does the increased amount of work in the Thames Valley area lead to the are becoming a permanent workplace? If so, does this effect the above?

Any help/comments would be appreciated.
DC

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By AnonymousUser
02nd Apr 2007 19:30

Living accomodation
See ss97-113 ITEPA 2003.

There is no charge if:

a) you are representative occupier, eg caretaker

b) customary in employment to be provided with accommodation

c) accommodation provided for security reasons

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