24 Month Rule for Contractors

As a contractor, your client site is normally deemed as your temporary workplace allowing you to claim legitimate business expenses. However, there is a point at which this is no longer deemed to be a temporary worksite and becomes your permanent place of work.

This happens when the period of continuous work passes the 24 month milestone. Furthermore, once a contract is agreed to breach 24 months, it is at that point when the site becomes the permanent worksite.

The effect this has is that even as a contractor you will no longer be able to claim expenses for travel and subsistence: these are normally the most commonly claimed expenses by a contractor.
 
If you are in this situation or you believe you are no longer caught by the 24 month rule because you have recently moved location, please contact us.

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