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Posted Mon, 30 Oct 2023 13:28:06 GMT by Golf Man
I have a scenario where a company is sending an employee on a course for three nights, and have been asked what the tax free allowances are. Breakfast, lunch and accommodation are to provided by the course provider, so will be paid up front by the employer, leaving just the evening meals. Per https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim30240, I calculate that the benchmark rate that can be paid to the employee per night is: 10 hour rate *: £10 + post-8pm supplement (£10) = £20 Incidental overnight expenses allowance: £5 Total: £25 Does this appear correct? * As I understand, the over 15 hour rate of £25 for subsistence will not apply even though the employee is required to stay away overnight, as the cost of breakfast and lunch is included in the accommodation payment.
Posted Wed, 01 Nov 2023 13:09:03 GMT by HMRC Admin 25
Hi Golf Man,
The over 15 hour rate will not apply as breakfast and lunch are included in the accommodation payment.
You can still consider the 5 or 10 hours rate (£5 or £10) for the evening meal and the employer can also pay a maximum of £5 per night in relation to incidental overnight exenses for overnight stays in the UK.
EIM02710 - Employment income: incidental overnight expenses: exemption from charge
Thank you. 
Posted Thu, 02 Nov 2023 09:22:49 GMT by Golf Man
Many thanks. https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim30240 states "Where a scale rate of £5 or £10 is paid and the qualifying journey in respect of which it is paid lasts beyond 8pm a supplementary rate of £10 can be paid to cover the additional expenses necessarily incurred as a result of working late." Does this mean that up to £20 can be applied to the evening meal (i.e. £10 + £10 supplement)?
Posted Tue, 07 Nov 2023 10:51:51 GMT by HMRC Admin 8
Hi,
Yes that is the correct.
Thank you.

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