Part 5Employment income: deductions allowed from earnings
Chapter 5Deductions for earnings representing benefits or reimbursed expenses
Travel costs and expenses where duties performed abroad
370Travel costs and expenses where duties performed abroad: employee’s travel
1
A deduction is allowed from earnings which are taxable earnings under section 15 or 21 (earnings for year when employee resident and ordinarily resident in UK) if—
a
the earnings include an amount in respect of—
i
the provision of travel facilities for a journey made by the employee, or
ii
the reimbursement of expenses incurred by the employee on such a journey, and
b
the circumstances fall within Case A, B or C.
2
The deduction is equal to the included amount.
3
Case A is where—
a
the employee is absent from the United Kingdom wholly and exclusively for the purpose of performing the duties of one or more employments,
b
the duties concerned can only be performed outside the United Kingdom, and
c
the journey is—
i
a journey from a place outside the United Kingdom where such duties are performed to a place in the United Kingdom, or
ii
a return journey following such a journey.
4
Case B is where—
a
the duties of the employment are performed partly outside the United Kingdom,
b
those duties are not performed on a vessel,
c
the journey is between a place in the United Kingdom and a place outside the United Kingdom where duties of the employment are performed,
d
the duties performed outside the United Kingdom can only be performed there, and
e
the journey is made wholly and exclusively for the purpose of performing them or returning after performing them.
5
Case C is where—
a
the duties of the employment are performed partly outside the United Kingdom,
b
those duties are performed on a vessel,
c
the journey is between a place in the United Kingdom and a place outside the United Kingdom where duties of the employment are performed,
d
the duties performed outside the United Kingdom can only be performed there, and
e
the journey is made wholly and exclusively for the purpose of performing those duties, or those duties and other duties of the employment, or returning after performing them.