Can a sole trader claim mileage and subsistence?

Applying for a Start up grant

Hi,I am starting up my Car wash & Valet Service very soon.I have already sourced my place of work,and am doing some minor adjustments to the place myself before I open,out of my own pocket,i will be employing 2 full time staff,I have been onto the county enterprise board regarding start up Grants,but was told that I would not qualify as my business is Retail? Can anybody shed some light on this please.I will now have to source the products and machinery myself again out of my own pocket,why advertise start up loans/grants if they don't seem to give them out??
 
The theory is that you are just taking jobs off somebody else and not adding bottom line value.
 
I don't understand that theory,I'm giving employment to 2 people,not taking jobs away from somebody else? correct me if i'm wrong
 
Vince73 said:
I don't understand that theory,I'm giving employment to 2 people,not taking jobs away from somebody else? correct me if i'm wrong
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The big question is whether your business will get people to spend more on car washes than otherwise, or will it take business from other car wash services?
 
In short CEBs dont give a flying feather about businesses in the service or retail sector, where incidently, most of any new jobs coming on stream are created. Yet another example of the short-sighted attitude of the policy makers. The current radio advert on radio stating that CEBs gave assistance to 30,000 people last year, simply makes my blood boil.:rolleyes:
 
Tentman said:
In short CEBs dont give a flying feather about businesses in the service or retail sector, where incidently, most of any new jobs coming on stream are created. Yet another example of the short-sighted attitude of the policy makers. The current radio advert on radio stating that CEBs gave assistance to 30,000 people last year, simply makes my blood boil.:rolleyes:
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Some very broad generalisations there. http:dlrceb.ie provide many services (training, mentoring, networking, trade missions if relevant) across all sectors, but funding is limited as follows;
  • The business must be a manufacturing or internationally traded service business
    OR
    The business Is a domestically traded service with the real potential to trade internationally i.e export.
    (NB. An applicant business must clearly demonstrate both its intent and capacity to make export sales)
    OR
    The business Is a domestically traded service being established by a female returning to the workforce or
    unemployed person(s) where the potential for deadweight and displacement does not exist.

  • DLR CEB is NOT in a position to consider funding applications from retail enterprises, personal services (hairdressers, gardeners etc.), professional services (accountants, solicitors etc.) or construction businesses.
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Does it really make sense for CEBs to be funding new retailers, who are just going to displace existing retailers?
 
Those civil service rates are for Schedule E employees only.

As self employed, you are schedule D and you can claim for wholly and exclusively for the trade expenses i.e. receipted.
 
ubiquitous said:
This advice is totally 100% incorrect. Civil service rates of mileage and subsistence can be claimed by employees and company directors but NEVER by self-employed individuals.
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Well ubiquitous, that the above in incorrectness is incorrect is fundamentally 100% incorrect.
Sole Traders, or, self employed persons, are eligible to claim a 40% rebate on the costs of expenditure on diesel for even their private car. That much I do know. But about other expenses, alas I am not so sure.

MidasTouch
 
midastouch said:
Sole Traders, or, self employed persons, are eligible to claim a 40% rebate on the costs of expenditure on diesel for even their private car. That much I do know.
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Can you provide a link to this as I have never heard of this before.

Do you mean that they can get 40% tax relief on the expenses incurred on running the car or is it something totally different.
 
Interesting thread.

All the emphasis is on the sole trader (of which I am one) not being able to claim this or that.

However, don't forget that, unlike the company director, you can charge expenses. Obviously, charging for lunch and travel within the town you work live for a client in the same town isn't on. But, if you travel down the country you should be charging mileage and subsistence and not worrying whether or not you can claim this off you tax bill.

Right?

D.
 
I also would have to question your accountants advice - as a sole trader you can claim your expenses back on travel if you have receipts and the expenses have been incurred wholly and exclusively for the business - otherwise you can come to an arrangment with revenue on the proportion to be allocated to the business. As far as lunches etc are concerned you can make a case to revenue to claim for lunch expenses if you are away from your base of work for 5 hours or more and again as a sole trader you can claim the total amount of the lunch as an expense rather than the civil service rates. However, the travel and subsistence rates for the civil service would apply if you had employees - the treatment is different for employees and for self-employed sole traders.
 
Dinarius said:
Interesting thread.

... But, if you travel down the country you should be charging mileage and subsistence and not worrying whether or not you can claim this off you tax bill.

Right?
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I'm not sure.

What does 'charge mileage' mean? Does it mean that you can claim the ex VAT diesel price as an expense, and you can claim the VAT back if registered? If it means something else then I feel that you are wrong. If a tradesman travels for two hours to reach a job all he can do is claim his expenses, .. i.e diesel and nothing else.


Claiming for food is problematic. You eat to live, not to work, and that's the way Revenue look at it. If you weren't working you'd be eating nonetheless.. so the expense hasn't been 'wholly' incurred in the course of your buisness., it would have been incurred anyway. Having said that I think there are some situations where it's allowable.

For example, I fitted a kitchen 100's of miles from my base, and myself and a staff member stayed in a B&B for one night. The B&B is claimable as far as I know.. and perhaps the food eaten.. but in other situations it's not possible. (I would claim the entire B&B bill, but nothing else, although I would pay for dinner for the staff member, and pints)
 
Apologies for any confusion caused......

My point is simply this, forget the ins and outs of what you can and cannot claim from Revenue.

I'm simply saying that if you are working away from your base, you should be charging the CLIENT mileage and subsistence.

I do. I have a lot of state funded clients and they don't bat an eyelid at me charging them civil service rates for mileage and subsistence. If you are working away from home overnight you are most certainly sleeping to work (whatever about eating to work) and should charge accordingly.

Once again, apoligies for any confusion caused.

D.

That's all.
 
Well yes, you can charge the client whatever you can get away with.

Perhaps this reflects more on the 'state funded' clients who simply pay bills, and don't bat eyelids, or seek more competative alternatives. But perhaps not, I simply don't know.
 
Dinarius said:
Apologies for any confusion caused......

My point is simply this, forget the ins and outs of what you can and cannot claim from Revenue.

I'm simply saying that if you are working away from your base, you should be charging the CLIENT mileage and subsistence.

I do. I have a lot of state funded clients and they don't bat an eyelid at me charging them civil service rates for mileage and subsistence. If you are working away from home overnight you are most certainly sleeping to work (whatever about eating to work) and should charge accordingly.
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Opinions differ as to whether it is better in individual situations (1) to bill separately for incidental costs like postage, stationery and travel costs; or (2) to take these costs into account when setting prices and to bill the stated price without separate additions.

Personally, I would normally agree more with the latter approach, but each one to their own.
 
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