We revisit the court case that revealed what can β and cannot β be deducted as expenses. Always look at the facts of any deductibility of expenditure and fully explore the reasons for any claim as in Daniels v HMRC , where deductibility of an exotic dancer's clothing and underwear and other items, including cosmetics and hair extensions, was under scrutiny. Essentially, the issues in dispute concerned the deductibility of travelling expenses incurred by Ms Daniels a self-employed exotic dancer between her home and Stringfellows a nightclub in central London and of certain other items including clothing, lingerie, dry-cleaning, make-up, beauty treatments.
In this case Mr Horton, a subcontracting bricklayer, claimed travel from work to site as an expense. In addition, he held meetings at his house with contractors to establish fees. The travel included daily travel to building sites, picking up other bricklayers and inter-site travel. The daily travel varied between five and 55 miles. Each project would take no more than three weeks. There was no office at the sites. In conclusion, travel expenses in relation to itinerant work or for journeys between places of business for purely business purpose are deductible.
In this case Dr Samadian was a self-employed consultant geriatrician who was also a full-time consultant working for two NHS hospitals.
Dr Samadian claimed the costs of travelling between private clinics and NHS hospitals and between private clinics and his home.
So the judge decided that the cost of these journeys was non-deductible. The journeys between the NHS hospitals and the private hospitals were also regarded as non-deductible on the grounds that the travel was not an integral part of the business itself. In conclusion, travel expenses for journeys between home even if the home is used as place of business and places of business are treated as non-deductible other than in very exceptional circumstances.
