Are LT and DLR tickets subject to VAT

[mikeyboy]

And if so if i buy one in the course of work can I claim the VAT back?

[Eric Mc]

No and No.

Train tickets, bus tickets and 'plane fares are VAT exempt. There is no VAT contained within them in the first place so nothing to claim back.

[mikeyboy]

Thanks and B***er, I now have to redo my accounts.

[mikeyboy]

Oh and while you're being so helpful, do expenses such as coffees and meals with clients count as refreshments in my accounts or as entertainment expenses?

[Eric Mc]

"Treating" suppliers and customers would normally be construed as "Entertainment" rather than "Subsistence". Therefore, such expenses cannot be claimed as legitimate deductions for tax purposes and the Input VAT contained therein cannot be reclaimed.

You might be able to argue that the element of such bills relating to YOUR share of the "meal" IS "Subsistence" and therefore allowable - although that does depend on where the meal was eaten, the type of meal, alcoholic content (I am not kidding) etc etc etc.

[mikeyboy]

Thanks for that Eric, I will put them down as Expenses then, zero rated.