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HMRC internal manual

Business Income Manual

Subcontractors: expenses: travelling and subsistence

In order to determine what travelling and subsistence expenses can be deducted from trading profits it can be useful (but not a necessity) in some cases to establish where the business is carried on. This is because the cost of travel between the business base and other places where work is carried out is usually an allowable expense while the cost of travel between the taxpayer’s home and the business base is not allowable.

Guidance on the business bases of subcontractors is given at BIM37675. That page also discusses whether expenses of accommodation and subsistence are allowable.

Other common expenses

For guidance on the allowability of other common expenses of subcontractors see:

  • BIM66215 - expenses on use of home as office
  • BIM66220 - payments to spouses, civil partners or relatives