Refund of subsistence for 2008

[baldyman27]

Just got off the phone from my accountant who I had a meeting with the other day. I didn't claim subsistence for last year (I'm a PAYE employee of my own limited company) and we agreed that I would claim e144 - odd per week. I had 38 weeks of gainful employment last year, therefore I presumed that I could expect a refund of e5470 - odd from Revenue, plus some PAYE refund as my gross pay would have been reduced as a result.

However, my accountant tells me I'm only entitled to a refund of e2266. Am I missing something here? Any thoughts greatly appreciated.

 

[MaryBe]

Baldyman,

Do you have a company car/van?. If not, why don't you claim travel allowance at ?? per mile for 2008. You could easily clock up 6k and forget about subsistance!!!

Mary

 

[Madilla]

The gross amount of €144 x 38 weeks is €5472 so at 41% the refund would be €2243.

 

[baldyman27]

MaryBM, I have a company van so that isn't an option unfortunately.

Madilla, I deliberately kept my salary in the lower tax bracket for my first year trading, my weekly gross salary worked out as E680.77 I think, take home was E545.77. I'd have thought that taking the E144 from this would leave c. E536 gross pay.

 

[papervalue]

MaryBM, I have a company van so that isn't an option unfortunately.

Madilla, I deliberately kept my salary in the lower tax bracket for my first year trading, my weekly gross salary worked out as E680.77 I think, take home was E545.77. I'd have thought that taking the E144 from this would leave c. E536 gross pay.

.

I would contact your accountant again

Suggest

1. If P35 is filed the above computation of €545.77 in to hand is right. The revenue would not owe you any refund. The subsitence of €5,472 would be a cheque from the company to you.

2. If P35 is not filed you can contra the 144 against 545 giving 401 net and them regross it to give around 489. the position them is revenue would owe you cheque of €1822. but subsistence fully used.

In conclusion if you have paid all the tax already, i would suggest position one is best as you can take a cheque from company for €5,472 with no refund from revenue.

 

[baldyman27]

Papervalue, rang the accountant and the P35 is filed as of today. He's adamant his calcs are right and that the revenue will refund me the e2266. I'll accept this gladly as the company can't afford to write a cheque for the 5k+.

Many thanks for your effort.