We have recently introduced travel and overnight stay for employees and sub-contractors.
Sub-Contractors are simply charging us the £25.00 allowance on their invoice.
Travel time is paid at flat and we pay for accommodation. As breakfast is normaly included with the accommodation, that is covered.
We have a £25.00 evening meal and drink (can be 1 alcoholic) allowance to which we request receipts.
One empoyee hasn't provided receipts for the times he has travelled and is disgruntled that I will not simply pay him the £25.00 tax free. He claims that his previous employers have never requested receipts and simply paid the money into his account.
It has also been raised that it is hard to find an evening meal and drink within that allowance.
My understanding is that if I simply pay the £25.00 it is subject to tax as he could be buying a meal deal and gaining on the allowance.
Is there a way in which I can pay the allowance without receipts or through payroll?
Any help would be greatly appreciated.