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Posted Tue, 07 Dec 2021 16:21:07 GMT by Jovie Guinto
We have a couple of guys whose contract of employment states that their main place of work is the head office in Aberdeen. • The guys on this contract do not actually have a specific rota. So they can work anywhere depending on the client’s requirement. They can work both offshore (in various platforms) or onshore, in our office and client’s office (which can be in or outside Aberdeen) • Although their contract of employment states Aberdeen as base location, majority of their working time were spent offshore and only small percentage were worked onshore/ office. We are currently paying them a taxable travel allowance for working offshore. However we are being challenged on this as the contract of employment states that their base location is Aberdeen and therefore employees are claiming that the travel expenses outside Aberdeen should be treated non-taxable. Please note that these employees sometimes Mobilise in Norwich to go offshore. Question - kindly please provide clarity as to how we should treat the travel expenses in the scenario presented above. thanks
Posted Wed, 15 Dec 2021 10:18:46 GMT by HMRC Admin 20
Hi Jovie Guinto

An employee may have more than one permanent workplace.
If this is the case, all their home to work journeys are ordinary commuting, just as they would be if they had 2 jobs with different employers.  
However journeys made between the 2 workplaces would be business travel where they have 2 permanent workplaces for the same employer.
You can find guidance on travel costs for offshore oil/gas workers here:

EIM67195 - Tax treatment of offshore oil and gas workers: offshore rigs and platforms: travel costs

Thank you.

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