SE34030 - Foreign travel rules: duties performed wholly abroad - employee’s board and lodging at the overseas workplace
Section 193(2) and (4) ICTA 1988
Summary
This page is concerned with the cost of board and lodging at the overseas workplace of an employee who works wholly abroad.
Conditions
The employee must:
- Be resident and ordinarily resident in the United Kingdom (see SE34010)
- Hold an office or employment
- The duties of the office or employment are performed wholly outside the United Kingdom (see SE34010 for the relevance of “merely incidental duties”).
Other factors:
- The cost is borne or reimbursed by (or on behalf of) the employer and
- is an assessable emolument of the employee
- The board and lodging is provided to enable the employee to perform the duties of the employment
If the emoluments from the employment are “foreign emoluments” (see SE40031 and SE34160) no deduction is allowed.
Nature of the deduction
Allow the cost of the employee's board and lodging outside the United Kingdom where all the above conditions are satisfied.
Board and lodging
The term “board and lodging” is not defined. It includes hotel expenses and the cost of rented accommodation.
Dual purpose of board and lodging
If the board and lodging is provided partly for another purpose, for example, private use for a holiday, you should limit the deduction to the amount properly attributable to the business purpose.
