"Per Diem"
Joined: Jul 2006
Posts: 12
Likes: 0
From: Other side of nowhere
Some companies pay it as a daily allowance (for instance if you go via a contracting co, you may get a daily allowance of $50 a day or something for every day spent on base including your days off; but not on holidays!)
Otherwise, some companies pay you for nights away from base only but still refer to it as a per diem or 'overnight allowance'
Otherwise, some companies pay you for nights away from base only but still refer to it as a per diem or 'overnight allowance'
Joined: Oct 2003
Posts: 13
Likes: 0
From: UK
Some questions for any UK tax payers receiving per diem.
If you receive a fixed amount when you're on duty (eg £30 per day), is this per diem taxable? Is there a maximum value that the Inland Revenue will allow for meals etc before deducting tax? Does the employer have to make a case to the IR to provide a tax-free allowance?
I heard a rumour from one jet charter operator that they receive per diem tax free.
I don't want to pay the evil tax man any more than I can help!!
If you receive a fixed amount when you're on duty (eg £30 per day), is this per diem taxable? Is there a maximum value that the Inland Revenue will allow for meals etc before deducting tax? Does the employer have to make a case to the IR to provide a tax-free allowance?
I heard a rumour from one jet charter operator that they receive per diem tax free.
I don't want to pay the evil tax man any more than I can help!!
Joined: Nov 2004
Posts: 99
Likes: 0
From: UK
155 Man.
It's my experience that such things are entirely at the discretion of ones employer, who will reserve the right to change his mind as and when he pleases. http://www.pprune.org/forums/images/smilies/evil.gif
Besides... "It's to pay for your expenses - not to make you money !!! http://www.pprune.org/forums/images/.../eusa_wall.gif
But seriously, if anyone does have any experience of a UK company paying per diems or similar allowances tax free please post it!
Cheers
It's my experience that such things are entirely at the discretion of ones employer, who will reserve the right to change his mind as and when he pleases. http://www.pprune.org/forums/images/smilies/evil.gif
Besides... "It's to pay for your expenses - not to make you money !!! http://www.pprune.org/forums/images/.../eusa_wall.gif
But seriously, if anyone does have any experience of a UK company paying per diems or similar allowances tax free please post it!
Cheers
Joined: Nov 2004
Posts: 272
Likes: 0
From: Ireland
Individual airlines have struck individual deals with UK Revenue for a certain allowed untaxed flight pay or duty pay allowance, everything else or anything over this is taxable. Even though the allowances are similar, there is no one-size-fits-all answer, so talk to your employer.





