A guide to claiming contractor expenses
Thursday 5th July 2018
One of the most popular benefits that contracting brings is the ability to claim back legitimate business-related expenses. However, this benefit is meticulously regulated and depends on the type of contract undertaken.
Contractors working with Sterling will work on numerous temporary assignments, however should a contractor only carry out a single assignment then this would be considered their permanent place of employment and therefore no expenses can be claimed.
In 2016 regulations regarding expenses became even trickier to navigate as further rules on Supervision, Direction and Control (SDC) came into force, which meant contractors would be required to complete a further assessment in order to determine their SDC status.
Supervision direction and control essentially evaluates whether your contracting work is truly your own work and not directed by a person within the business for whom you are contracting. For example, if you are working as an IT contractor within a business, but someone is supervising your work throughout to ensure it is carried out correctly, they are directing you with regards to how the work should be done or they are providing training on the work at hand, then you would be subject to SDC.
What expenses can you claim?
Once we have confirmed that you are not subject to SDC, then you can claim back expenses on any number of work related items including:
- Accommodation – if your contracting work requires you to work away from your home
- Mileage – between your current workplace and home or accommodation
- Subsistence – food and non-alcoholic drink that have been consumed during the working day
- Tools – used solely for work you are carrying out
- Protective and safety wear – relating to PPE (i.e. safety boots, hats, etc)
- Professional fees and courses – this could potentially include subscriptions to professional bodies also
- And more
Making an expense claim with Sterling
It has never been easier for Sterling contractors to submit their expense claims. Simply visit our Sterling Mobile App and submit.
For more information on making your claim with Sterling Group, take a look at our comprehensive guide to expenses here.