HMRC internal manual

Employment Income Manual

EIM32106 - Travel expenses: travel for necessary attendance: the 24 month rule: breaks in attendance: example

An employee is employed as a computer consultant. She works full-time at a site for 18 months developing a new computer system. The work is then extended for another 18 months at the same workplace, for the roll-out of the new computer system. The roll-out is subject to a separate contract between the employer and client. A deduction is due for the full cost of travelling to the site for the whole of the first 18 month contract but no deduction is due for the cost of travelling during any part of the second 18 month contract.

The site is capable of being a temporary workplace because her attendance is for a limited duration, see EIM32075. Her attendance is in the course of a period of continuous work throughout the 36 month period (she works there for 40% or more of her working time) but it is not expected at the outset that the period will exceed 24 months. Therefore the site is a temporary workplace for the whole of the first 18 month contract.

After 18 months the expectation changes. With the addition of the second 18 month contract it is clear that the period at the site will exceed 24 months. Therefore, the site is treated as a permanent workplace from that time onwards.