EIM20607 - The benefits code: deductions for expenses payments received: example
Section 70 ITEPA 2003
An employee, who is not in an excluded employment (EIM20007), is rEIMbursed the following expenditure.
|
Business travelling |
£500 |
|
Home to work travelling |
£300 |
|
Allowable professional subscriptions |
£50 |
|
|
£850 |
The payment of home to work travelling costs is not allowable as they are not incurred in the performance of the duties or in travel to a temporary workplace. The employee’s tax liability will therefore include
|
REIMbursed home to work expenses taxable as earnings (EIM10020 and EIM20602) |
£300 |
|
REIMbursed business travel and professional subscriptions |
£550 |
|
Deductible expenses |
(£550) |
|
Taxable expenses |
£300 |
