Civil Service expense rate changes
For those of you who claim expenses based on the Civil Service Mileage rates you should be aware that they have have changed. A new rate table applies from 1st April 2017.
The mileage rate is based firstly on your engine size i.e. up to 1200cc, 1201-1500cc and above 1500cc. The big area of change is that there are now 4 mileage bands (previously there were only two, less than 6,437km and above). The four bands are 0-1500km, 1501-5500km, 5501-25000km and above 25001km. The good news is that overall there is an increase however the biggest gains are in the lower engine size bands.
Civil Service Subsistence rates have also changed however the increases are confined to the rates allowed for overnight stays.
Generally any expenses paid to an employee should relate to travel and subsistence costs that the employee had to incur in performing the duties of their employment whilst being temporarily away from their normal place of work.
The civil service rates may be used by employees as opposed to claiming expenses based on vouched receipts. However if you are someone who doesn’t work from a fixed place of work i.e. a salesman, then you cannot claim civil service rates.
Also in the case of claiming a meal allowances for absences above 5 hours the place of absence should be at least 8km from the employees home or place of work.
Records should be retained by the employer containing name & address of employee, date of journey, reason for the journey, km’s involved, starting and finishing point of journey, and the time away from normal place of work.