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Chartered Accountants

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Claiming expenses on work-related trips

Posted on Dec 21, 2017 by admin

When travelling for business or paying for employee travel there are many daily expenses that can be claimed.

Generally, you can claim for flights, taxis (or mileage if you use your own car), accommodation, meals and snacks when you are away from home on business travel.

For work-related meetings, conferences or training courses that require an overnight stay, employers can claim the cost of accommodation.

If an employee is working away from home for an extended period, you can claim for accommodation or any accommodation allowance paid providing it is for a period of no more than two years (or three years for capital projects).

The cost of purchasing a meal while travelling on business is 100 per cent deductible for employers. However, you can only deduct 50 per cent of the cost of food and drink if either:
– The trip is mainly for the purpose of enjoying entertainment, i.e., a team bonding trip.
– A celebration where you won’t be working, i.e., a reception, or a staff Christmas party.
– The trip is mainly for entertainment, i.e., a team bonding trip.

If refreshments are usually provided at work, an employer or employee can claim for snacks and refreshments.

The cost of entertainment can be claimed if its purpose is to build up business contacts, keep employees happy or promote goods and services, i.e., offering food to entice customers to a stall at an expo.

Entertainment expenses can be either 50 or 100 per cent claimable. Work-related entertainment expenses incurred while traveling overseas are 100 per cent deductible.

Chris and I would love to write this letter of reference. As business owners for 34 years we know how crucial it is to have the right professional people supporting you.Garry and Helen and their team at BDS Hughes have provided us with their accounting expertise for approximately 25 of those 34 years. Garry’s Business Development Services has taken us from small town business owners and grown us into a company capable of going nationwide and internationally with our products and services. His business acumen and professionalism has provided us with all aspects of accountancy services and financial support and advice. With his team he has given us very sound and timely training, keeping us on track through the highs and lows each year brings. As an ongoing family-based business, we have had the challenge of staying focused and looking to the future for all involved, our business team and family. Business planning and mentoring has allowed us to keep up-to-date and moving forward as well as introducing a succession plan. Garry and Helen share similar family values and know the challenges of fitting work and family time into busy and demanding schedules. We highly value the professional relationship we have built with them over these past years and know we have a lasting friendship as well.
Chris & Shirley HawkingsCEO and COLMad Supporters of Waikato Rugby

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From 1 July 2018, eligible parents who have a baby born on or after 1 July 2018 will receive a Best Start payment of $60 per child. Eligible individuals will receive $60 a week until the baby turns one regardless of household income. For those with a household income of less than $79,000, you will receive $60 a week until the child turns three. The eligibility requirements are as follows: – You must be the principal caregiver of the child – You must be a New Zealand resident or citizen and have been in New Zealand for a continuous period […]

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