Business trip - skiing!?

[hughjayteens]

A client of mine has invited me on a snowboarding trip with some of his larger customers.

I have to pay for the flight, as he is covering accomodation, but can I claim this and my food expenses etc through my company?

I don't see why not, but this is more of a holiday that a business trip?

Cheers

C

[unrepentant]

Perfectly ligit to claim everything. After all, you're going at your customers request. It's not as though you're going to enjoy yourself after all.

In my old company we used to go to Courcheval 1850 for a week every year. Always took a few customers / suppliers along to ensure that it was a business trip. The revenue never questioned it.

Disclaimer: That my have changed so don't quote me. If in doubt ask an accountant.

[eric mc]

There is nothing to stop you putting the cost through your company as a business expense. However, it might be deemed "Entertainment" and disallowed for Corporation Tax purposes. What's more, the element of the trip paid for BY YOUR CUSTOMER is deemed to be a Benefit in Kind and you will have to return these details on the Benefit in Kind form P11d which you will be completing for your own company sometime between 6 April 2004 and 6 July 2004. In addition, the amount your company paid for your trip might also need to be entered on the P11d too.

[eric mc]

Entertainment costs are specifically disallowed for tax purposes - even if they are wholly and exclusively incurred for the purpose of the business. There are no "ifs" and "buts" about it, I'm afraid.

[lemansman]

Entertainment is disallowed but I have always understood that "business promotion" is allowable?

steve

[eric mc]

Like many things in life (and tax law), definitions can sometimes be arbitary. Anything described as "Entertainment" is absolutely denied as an expense. If you chose to describe Entertainment as something else, you may get away with it, for a while. However, if your business suffers a tax investigation at a later date and the Inland Revenue determine that there were "Entertainment" expenses included in say, "Advertising" or "Promotion" etc, you will find yourself with an additional tax bill - with possible interest and penalties as well.

Believe me, this does happen - it is not theory. I am actually dealing with a tax investigation at this moment where such expenditure is an issue.

So, be warned.

[danhf]

Outrageous. I know it's an old, well worn rant but they tax you for absolutely everthing. They encourage you to hide things by being so anal about everything.

I still can't believe they tax pensions - utterly stunned.

Dan