EIM34002 - Travelling expenses: employees working abroad: expenses that may be deducted
Sections 337 and 338 ITEPA 2003
In many cases a deduction is due under Section 337 ITEPA 2003
(travel in performance of duties) or Section 338 ITEPA 2003 (travel
for necessary attendance) for expenses that are not deductible
under the special rules.
For example, a deduction under Section 337 or 338 does not
depend on the employee's residence status. The employee's residence
status is important for the special rules, see
EIM34010.
A deduction under Section 337 or Section 338 may be due
whether or not the expense has been reimbursed by the employer. In
many cases a deduction is only due under the special rules where
the earnings include an amount in respect of the provision of
travel facilities for a journey made by the employee, or the
reimbursement of expenses incurred by the employee on such a
journey. For example, the special rules generally provide for a
deduction where the employer meets or reimburses the cost of an
employee's journey, see
EIM34025.
The main rules that provide a deduction for employees'
travelling expenses will usually apply in the following
circumstances:
- travelling appointments, see EIM32366
- overseas conferences and study tours, see EIM31950
- travel between group employments, see EIM32035.
The special rules may permit a deduction where the main rules do
not. For example, Section 338 does not permit a deduction for the
cost of travelling to a workplace where the employee expects to be
at that workplace for a period of continuous work lasting more than
24 months. A deduction may be due in these circumstances if the
conditions of the special rules are met.
The difference between the main rules and the special rules
is illustrated by example
EIM34003.
