Expenses : Taxation

[Chas Dickens]

I formed my own limited company.

A considerable amount of my work requires me to travel to clients premises in order to provide my services.

For one particular client, the round trip to perform services, is 170 miles.
I have two options to travel to the client : I can drive 170 miles by car, or I can purchase a return train ticket.

My question is : can I claim the full amount of the train ticket as an expense from my company, if I purchase the rail ticket myself?

Thanks for your help.

 

[Rudolf289]

Indeed you have two options and either way you can claim the full expense incurred.

So, if you buy a rail ticket you claim the expense back from your company. Obviously it needs to be properly recorded and accounted for in your expense claims.

If you use your own car you are entitled to claim a mileage allowance. In addition, since you are away from what (I presume) is your normal place you are entitled to claim (from your company) a subsistence allowance.

Have a look at the links below and also have a word with your accountant to make sure you properly apply and record the allowances

http://www.revenue.ie/en/tax/it/leaflets/it51.html

http://www.revenue.ie/en/tax/it/leaflets/it54.html

Regards,
RUDOLF289

 

[Chas Dickens]

Indeed you have two options and either way you can claim the full expense incurred.

So, if you buy a rail ticket you claim the expense back from your company. Obviously it needs to be properly recorded and accounted for in your expense claims.

If you use your own car you are entitled to claim a mileage allowance. In addition, since you are away from what (I presume) is your normal place you are entitled to claim (from your company) a subsistence allowance.

Have a look at the links below and also have a word with your accountant to make sure you properly apply and record the allowances

http://www.revenue.ie/en/tax/it/leaflets/it51.html

http://www.revenue.ie/en/tax/it/leaflets/it54.html

Regards,
RUDOLF289

Thank you.

I did have a concern that if I purchase the rail ticket (as opposed to my company buying the rail ticket), that I would not be able to legitimately claim it as an expense.

In fact, if I was to drive the journey, I would be able to claim an amount well in excess of the rail fare expense.

I have the journey documented (start/finish times - dates etc) and I have retained copies of the tickets purchased.

 

[andrewol]

Hi Chas,
The mileage expenses would only relate to you using your personal car to drive the distance. If you use the train, the ticket would be claimable, and not the mileage. You would be able to claim normal subsistence based on current rates with both though.
Cheers
Andrew

 

[Chas Dickens]

Hi Chas,
The mileage expenses would only relate to you using your personal car to drive the distance. If you use the train, the ticket would be claimable, and not the mileage. You would be able to claim normal subsistence based on current rates with both though.
Cheers
Andrew

Thanks Andrew.

I would be using my own car to travel to the client in question.
Thanks for your help!