Taxis for late night working

Taxis for late night working

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My client has a number of bars which stay open very late. He pays for taxis for his staff to go home. The revenue are investigating and are challenging these payments on the grounds that they are benefits. The legislation refers to 'occasional' travel home by taxi being allowable. Has anyone any experience with similar situations or any advice
Howard Graham

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By AnonymousUser
06th Dec 2005 11:49

Not so sure
I am not so sure they are benefits as I seem to recall that the employer is under an obligation to provide transport home for employees if they are required to work beyond a certain time (11pm rings a bell?) - I assume there is some statue about this but afraid I do not know the details.

However if they are obliged to provide the transport then it cannot surely be a benefit for the employee?

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By stephenkendrew
06th Dec 2005 12:20

concession won't apply
The late night concession, ESC A66, (which applies after 9pm) only applies where "an employee is occasionally required to work late but those occasions are not regular"

Anything more than 60 occasions over the year are classed as not qualifying, or regular (every Friday for example) even though this would be 52 occasions.

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By neileg
05th Dec 2005 15:04

Why not?
What makes you think that these journeys are not benefits? Travel to and from a permanent place ofwork is always regarded as a private expense.

Remember though, that this is only taxable if the employee's earnings including benefits exceeds £8,500.

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By Elenderil
05th Dec 2005 17:31

They are almost certainly benefits.
Take a look at booklet HMRC booklet 490 section 8.16 onwards. It looks to me as if section 8.18 will apply as the late working is a regular feature of the workers job.

You may just get away with it if you can demonstrate that the workers concerned were not normally required to work late.

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