Tax update: Subsistence

05 Jan 2018

As announced in the Autumn Budget, to reduce the burden on employers, legislation is to be introduced so that they will no longer be required to check receipts when making payments to employees for substance using benchmark scale rates. This applies to standard meal allowances paid in respect of qualifying travel and the overseas scale rates. Employers will only be asked to ensure that employees are undertaking qualifying travel.

This will have effect from April 2019. Abolition of receipt checking does not apply to amounts agreed under bespoke scale rates or industry wide rates.

For more information and to discuss your tax affairs in further detail, please contact Alan Ford or your usual Beavis Morgan Partner.