Share this content
0
1449

Ltd co MD moving abroad... how to claim travel expenses to "go to work" in UK?

Ltd co MD moving abroad...

Didn't find your answer?

Search AccountingWEB

Ltd co managing director (sole director) aims to move abroad, traveling frequently back to the UK to conduct business, and wishes to deduct airfare as well as UK hotel and food costs. All business operations (filming) will take place in the UK, only the residence will change. The number of trips may be around 2-3 per month, each time staying in the UK for up to two weeks maximum, of which 1-4 days will involve actual filming, the rest will be “waiting days” between one shoot and the next, and 1-2 meetings. The question is whether deducting airfare, hotel and food costs is an issue…?

Replies

Please login or register to join the discussion.

21st Jul 2016 09:33

Is the UK place of business a fixed place such as a studio- or does this "filming" take place allover the place?

If the former, it sounds like home to work travel to me, and that HMRC wouldn't expect the treasury to suffer from his choice of where to live.

Thanks (0)
avatar
By massimo
to TheLambtonWorm
21st Jul 2016 11:09

There is no studio or fixed place. Filming takes place all over the place, and always somewhere different, usually in London, at times out of town.

Thanks (0)
21st Jul 2016 11:44

The question I think you should be asking is not whether the expenses are "deductible" (by which I assume you mean allowable expenses for corporation tax) but whether, if the company pays them, they are taxable on him as a benefit in kind.

Thanks (0)
avatar
By massimo
to johngroganjga
21st Jul 2016 19:21

You are correct, I mean allowable expenses. Do you believe these would be taxable to the MD as a benefit in kind?

Thanks (0)
21st Jul 2016 12:23

I can confirm that the company can obtain a deduction for paying its director's personal expenses, provided that his total remuneration (including the said expenses) is not excessive.

Thanks (0)
avatar
By massimo
to Portia Nina Levin
21st Jul 2016 19:24

Thanks, in your opinion, how might it be determined that the remuneration be "excessive" or fair?

Thanks (0)
21st Jul 2016 13:22

There you are you see. You have a comprehensive answer to the question you asked, but it's not much help is it?

Thanks (0)
avatar
By massimo
to johngroganjga
21st Jul 2016 14:37

Not really, haha... I guess it's interpretable either way. Perhaps someone knows if there's a "safeguarding" measure I can take to illustrate the validity of this kind of travel expense write off?

Thanks (0)
to massimo
22nd Jul 2016 07:44

You are still missing the point. What you need to address is what the benefit in kind position is.

Thanks (0)
avatar
By massimo
to johngroganjga
22nd Jul 2016 09:53

I have no idea how to do this. I'll have to get professional help to figure that out.

Thanks (0)
Share this content