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Chapter NIM05684

Document Cited authorities 2 Cited in Related
Vincent
Published date11 April 2016
Record NumberNIM05684
CourtHM Revenue & Customs
IssuerHM Revenue & Customs

The payment reimburses the long distance lorry driver for

  • the expense of overnight accommodation at a transport hotel or other similar establishment; or
  • the cost of expenses incurred if they use a sleeper cab.
Overnight accommodation

The normal travel rules apply. See NIM06250.

As a general guideline, the employer must have evidence available to show that the employee

  • spent the night away from home and any permanent workplace, and
  • the amount paid was reasonable reimbursement of the costs of accommodation and subsistence resulting from the business journey.

HMRC has an agreement with the Road Haulage Association over the level of overnight subsistence and the rates are reviewed annually. See EIM66110, previously SE66110 for details of the agreed rates.

As long as the employer makes an overnight payment in line with the nationally agreed rates you should accept that no NICs are due on the overnight subsistence element of any payment.

Where a round sum allowance is paid only those amounts which can be identified as a business expense will be excluded from liability for NICs. See NIM06160 for general guidance on round sum allowances.

Sleeper cabs

Drivers now regularly use sleeper cabs in preference to alternative accommodation when away from home. However, they still receive a general overnight subsistence payment. This payment is intended to cover the cost of

  • an evening meal and breakfast
  • washing facilities
  • upkeep of bedding in the cab Paragraph 5B(e) of Part 5 excludes from Class 1 NICs liability meal vouchers in respect of which...

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