S34 and S57A Income Tax (Trading and Other Income) Act 2005, S54 Corporation Tax Act 2009

What to do in practice

The cost of meals taken away from the place of business is not, in general, an expense incurred wholly and exclusively for business purposes, since everyone must eat in order to live. This follows from Caillebotte v Quinn [1975] 50 TC 222 (see BIM37660) and Watkis v Ashford, Sparkes and Harward [1985] 58 TC 468 (see BIM37925). Where such costs are disallowable they cannot be apportioned to allow extra costs incurred from the necessity of eating and drinking away from home or the place of business.

Need help? Get subscribed!

To subscribe to this content, simply call 0800 231 5199

We can create a package that’s catered to your individual needs.

Or book a demo to see this product in action.