Summary
Travel and subsistence payments by the appellants to employed temporary workers were liable to income tax and National Insurance contributions (NICs) as earnings, and were not expense payments for which a dispensation could apply. Furthermore, the recipients of those payments had permanent workplaces, and therefore the travel costs were ‘ordinary commuting’ expenses, for which no deduction from earnings was allowed for tax purposes.
In addition, an application for judicial review was dismissed. There was no legitimate expectation that the payments would not be subject to income tax and NICs, and that dispensations given by HM Revenue & Customs (HMRC) would not be revoked.
Background
The appellants (Reed) had unsuccessfully appealed to the First-tier Tribunal (FTT) against HMRC determinations and notices of decision amounting to approximately
