Speeding and Parking Fines

System
System Posts: 100,537 🤖 Admin 🤖
edited June 9 in AAT member discussion
Hi All,<BR><BR>Could someone clarify for me the position and treatment on speeding and parking fines with regard to Class 1 NIC and the correct way to record this for P14/P35. I believe that they are subject to NIC1 and should be included in gross pay as the company have paid the employee (who is a director). There is an entry in the company accounts for the reimbursment of the fine i.e credit persons expenses account debit motor/travel expense P&L. What other entries need to go in the company accounts?<BR><BR>Many thanks,<BR><BR>Una<BR><BR>

Comments

  • System
    System Posts: 100,537 🤖 Admin 🤖
    Speeding and Parking Fines

    Speeding and parking fines are an 'allowable' expense if they relate to business journeys. Therefore they do not need to be recorded on P11's/P14's etc
  • System
    System Posts: 100,537 🤖 Admin 🤖
    Speeding and Parking Fines

    I thought parking fines were allowable but speeding fines weren't, that's what we've been taught in tax. Even then parking fines are allowable for employees but not directors.<BR><BR>Annette
  • System
    System Posts: 100,537 🤖 Admin 🤖
    Speeding and Parking Fines

    Thanks for the replies, I have looked up the treatment on the Inland rev internal manual (they give three different situations). They both are NICable as a director, as monies paid either to them or on their behalf.<BR>Cheers Una

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