In 2017 the Government sought views on how employers currently deal with employee expenses, current tax rules on employee expenses and the future of employee expenses. As a result of this survey, a number of changes were announced in the Autumn Budget 2017.
This blog summarises some of the key points you need to be aware of as an employer.
Information for employers
- The existing concessionary travel and subsistence overseas scale rates will be placed on a statutory basis from 6 April 2019, to provide clarity and certainty. Employers will only be asked to ensure that employees are undertaking qualifying travel
- Employers will no longer be required to check receipts when making payments to employees for subsistence using benchmark scale rates. This will apply to standard meal allowances paid in respect of qualifying travel and overseas scale rates. Employers will only be asked to ensure that employees are undertaking qualifying travel. This will have effect from April 2019 and will not apply to amounts agreed under bespoke scale rates or industry-wide rates
- HMRC will work with external stakeholders to explore improvements to the guidance on employee expenses, particularly on travel and subsistence and the claims process for tax relief on employment expenses. This programme of work will also increase simplicity around the process for claiming tax relief and will take action to improve awareness of the process and the rules
In 2018 the government will consult on extending the scope of tax relief currently available to employees and the self-employed for work-related training costs.
If you want to find out more about your obligations as an employer, especially if you are taking on your first employee then please do contact us and we can advise you. You can call 01623 490120 or email