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24 Months Question

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    24 Months Question

    I've been based on one site for 23 months now, just been offered one year extension, I know if I sign that extension then I will then be unable to claim travel expensives, from home to site and back.

    In the 1 year extension offer my client is asking if I can I cover another site one day a week, so the question is can I claim travel ex to the new site for one day a week ?

    If yes its a bonus because the new site will be enough mileage to cover the other four days and client offered 23% raise on rate to cover my lose.

    #2
    yes
    Down with racism. Long live miscegenation!

    Comment


      #3
      Boom !

      Comment


        #4
        The 24 month rule applies only to sites that you spend most of your working time at (not sure the exact figures but think it's 3 days a week).

        I.e., I have been at a client for over 2 years now, but I am only on site 2 days a month so am still OK to claim expenses for those 2 days.


        Or at least that's what my accountant says......
        Still Invoicing

        Comment


          #5
          I recall it is 40%> of your time to fall within the 24 Month rule.

          Comment


            #6
            Originally posted by Number9 View Post
            I've been based on one site for 23 months now, just been offered one year extension, I know if I sign that extension then I will then be unable to claim travel expensives, from home to site and back.

            In the 1 year extension offer my client is asking if I can I cover another site one day a week, so the question is can I claim travel ex to the new site for one day a week ?

            If yes its a bonus because the new site will be enough mileage to cover the other four days and client offered 23% raise on rate to cover my lose.
            It depends. Probably. Assuming you anticipate spending less than 24 months there. If you anticipate spending more than 24 months there (ie you think you will sign a 12 month extension when this contract finishes), you probably have a problem due to the regularity of the travel (see http://www.hmrc.gov.uk/helpsheets/490-chapter3.pdf para 3.10).

            Comment


              #7
              Originally posted by HMRC
              Even
              if the employee attends the workplace only on one or two days a week, if it is on
              a regular basis, the workplace may still be a permanent workplace.

              Thanks for that HMRC nice of you to clarify exactly what consitutes a permenant workplace.

              Still Invoicing

              Comment


                #8
                So what happens to the less than 40% "rule". Tossers.
                Down with racism. Long live miscegenation!

                Comment


                  #9
                  Originally posted by HMRC
                  So even where an employee attends a workplace regularly, it will be a temporary workplace and, therefore, not a permanent workplace if the employee attends for the purpose of performing a task of limited duration or other temporary purpose.


                  So basically it's a temporary workplace, so not a permanent workplace if it's temporary, unless it's permanent, in which case it's permanent. You couldn't make this stuff up.

                  He's going to be fine for now. As to what happens after 24 months in the new location, can you have two permanent workplaces? If you go to one 4 days a week, and the other 1 day a week, are they both permanent? What would an employee do? They'd probably have the one site as a permanent workplace and claim travel expenses to go to the other site one day a week and it would never get disputed.
                  Will work inside IR35. Or for food.

                  Comment


                    #10
                    Originally posted by VectraMan View Post
                    They'd probably have the one site as a permanent workplace and claim travel expenses to go to the other site one day a week and it would never get disputed.
                    That's how I would read it.
                    Down with racism. Long live miscegenation!

                    Comment

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