Claiming for food as expenses

[numberwrong]

Anyone know what is allowable for a tax deductible expenses when it comes to food whilst working?

 

I've heard rumours that the job has to be a certain mileage from your house for it to be allowed (not sure about that).

 

Examples:

 

- That (absolutely essential) can of redbull purchased in a hotel bar for £4 whilst working an award show

- You miss festival catering which shuts at 9pm so you are forced to buy food from a trader

- Burger king purchased in a service station on the way home from a job (technically the next day)

- Coffee purchased in central London before an 18hr day (about 3 miles from home)

- restaurant meal (around £30 no booze), client will reimburse no questions on the invoice but can I use the receipt as tax deductible?

- a pretzel purchased in a German airport. The day is not a paid work day but you are in Germany purely for work.

 

Thanks!

[top-cat]

I don't think there are any hard and fast rules at HMRC about what food and drink counts.

 

As long as you can prove that the money was spent in order to allow you to fulfil your duties in your job, and that the expense was founded as a result of you doing your job, that is fine.

 

So all but one of the above would be acceptable since they were expenses that you unavoidably created as a result of the needs and limitations of your job. The only dodgy ground is the one about client covering expenses. You would not be allowed to claim the tax back on something which somebody else has paid for, just because you happen to be in possession of the receipt. If you get audited the tax office are really just looking to check that the numbers you returned were devised from expenditure which actually occurred. They're not that bothered about interviewing you for each and every meal you've eaten at work that year, they're just keen to check that the amounts you've claimed for are correct. Because ultimately, they are simply checking that the tax was paid in in the first place. If there is no evidence that tax was paid on said expenditure, yet they refunded it as an expense, the tax office would be running on a loss.

[Junior8]

I don't think any of the examples are deductible. When I started out I was told by an ex tax inspector to be very wary of claiming anything for subsistence unless it could be argued convincingly that it was absolutely neccessary and out of the normal run of things. Of course T-C is right in that a few quid probably won't lead to a tax inspection.

 

HMRC view: "The cost of meals taken away from the place of business is not, in general, an expense incurred wholly and exclusively for business purposes, since everyone must eat in order to live. This follows from Caillebotte v Quinn [1975] 50 TC 222 and Watkis v Ashford, Sparkes and Harward [1985] 58 TC 468. Where such costs are disallowable they cannot be apportioned to allow extra costs incurred from the necessity of eating and drinking away from home or the place of business."

 

See this section of the manuals http://www.hmrc.gov....al/BIM47705.htm for more guidance.

[paulears]

It's actually spelled out here pretty clearly.

The case of Caillebotte v Quinn [1975] 50 TC 222 is described at BIM37660.

 

Where food and drink is consumed for the purpose of sustenance there will be an inevitable private purpose to the expenditure. Lord Templeman explained the taxpayer’s basic difficulty with the legislation and gave a prosaic example. A self-employed taxpayer, like any other taxpayer, must eat to live. No part of the cost of Quinn’s lunch was laid out wholly and exclusively for the purposes of his trade as a carpenter.

 

You should therefore disallow the costs of ordinary meals that serve the function of sustaining the taxpayer. It is immaterial that the physical demands of the taxpayer’s occupation require a greater consumption of food or that the location of the work place imposes a greater cost.

 

In my case, I tried to claim based on the fact that eating time was short, no other place to eat was available, but the cost at the work location was very expensive and was not my choice. The final sentence seems to cover this - so although I always collect receipts, there's no real benefit.

[numberwrong]

A deduction is, however, allowable for reasonable expenses on food and drink for consumption by the trader either at a place to which the trader travels in the course of the trade or while travelling in the course of the trade, if certain conditions are satisfied.A deduction must be allowable for the cost of travelling to the place, or would be if the trader incurred any such costs, and either:

 

• the trade is an itinerant trade at the time the expenses are incurred; or
• the trader does not travel to the place more than occasionally in the course of the trade and either:

• • the travel concerned is not part of the trader’s normal pattern of travel in the course of the trade; or
  • the trader does not have such a normal pattern of travel.

 

This would indicate that food consumed whilst traveling is ok. So my example of the German pretzel and the Burger king would be ok (I think)

 

I've only claimed for about £50 of food each year I've been freelance. Pretty sure I can argue those costs. Will be a bit more critical in the future!

 

Thanks for your help,

[top-cat]

It would seem that the way to legitimise buying food whilst at work in the UK is to claim that it is for unpaid interns.

 

After all that pedalling, it is little wonder that MPs get a bit peckish, and who would deny them a light snack? Rosie Cooper, Labour MP for West Lancashire, claimed 29p for a packet of Hula Hoops, 30p for a white chocolate cookie, 30p for a jam doughnut and 35p for a Bounty bar.

Her high-calorie choice raised eyebrows, given that she has backed the British Heart Foundation's campaign against hidden salt, fat and sugar in our diets.

But she defended herself by arguing that she didn't eat them — they were bought for an unpaid intern.

 

More here - http://www.dailymail...LL-dont-it.html

 

Do we think that the argument "well if it's OK for my taxes to pay for MP's doughnuts, then surely it's OK for my taxes to pay for mine" would hold ground?

[paulears]

I guess that a mass of food and drink receipts, of which a small proportion are claimed as valid expenses would be good evidence to justify the claim. In my case, I also have to buy food, drink and other items for turns - and these I claim as it's part of my job, the money unrecoverable from the production company, and not consumed, or purchased for me.

[abbotsmike]

Interestingly, when travelling for my job (not in theatre, but as a service technician) I claim everything, including food, from the company. I am fairly certain that is so they can then reclaim it for tax purposes.

[peza2010]

Interestingly, when travelling for my job (not in theatre, but as a service technician) I claim everything, including food, from the company. I am fairly certain that is so they can then reclaim it for tax purposes.

 

Certainly for VAT purposes, and I would imagine Tax too.

[itiba]

FWIW I always the find people over at The Taxation Web Forums to be very helpful with any specific tax related questions I've had

[Judge]

I was told by ywo different accountants that its okay to claim a certain amount per day if you are away working. I forge what the actual amount is - I mean if you are working at Bray, then dont try to get lunch at Heston Blumenthals place and expect to get away with it. Reasonable amounts are okay.

The argument that everyone has to eat therefore why should you be allowed to claim for it is false. If I was at home, and not working in another city, then I could make my own food at home, and a meal would not cost me £20. I am out working, thus increasing my income, thus providing more revenue for HMRC and this is an expense as part of that process. As are the associated costs involved in getting there, and staying there.

[timsabre]

You're getting off the point here (and the thread title is not very helpful) - the original question was not "when it is OK to claim food as an expense", but whether the expense is tax deductible or not. This is a significantly different question... I think

[MarkPAman]

I forge what the actual amount is -

 

You may not want to admit this in public……

 

:D

[Brian]

...but whether the expense is tax deductible or not. This is a significantly different question... I think

It is a different question, and might even be split into allowed against 'tax on profits' and 'VAT' which can often be treated differently.

[Gazlights]

Hmm I'm wondering the same thing.

 

This years tax return was slightly different from usual as I have been away on tour for a good six months all over the UK. I know I can claim for reasonable food and drink costs but not sure how much this is.

 

£15 a day? any advice would be appreciated :)