a subcontractor has been away from home carrying out subcontract work, and has had to pay for digs, subsistence etc.
after what period of time does temporary work become permanent? once deemed to be permanent, i presume that accommadation costs and subsistence are not allowable?
Thank you
Replies (4)
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More Information
Require more information before even considering an opinion.
How is the man trading? Self Employed, Ltd co etc?
Facts and intention
There is a lot of case law on this and it will be very fact dependent.
As Stratty says much more detail on the work, how individual operates business and what other work doing required to start considering.
Thoughts
I would tend to the view that they are not allowable as they are not wholly and exclusively for purposes of trade. It does not sound as though he carries on business from home in any meaningful way. There has been at least one case recently where such costs have been allowed, but I think this was exceptional and may be under appeal by HMRC.