Section 241B — Income Tax (Earnings and Pensions) Act 2003: Travel where directorship held as part of trade or profession

Travel where directorship held as part of trade or profession 241B 1 No liability to income tax arises in respect of a sum if or to the extent that it is paid wholly and exclusively for the purpose of paying or reimbursing travel expenses in respect of which conditions A to D are met.

2 Condition A is that the employee is obliged to incur the expenses as holder of the employment.

3 Condition B is that the employment is employment as a director of a company.

4 Condition C is that the employee carries on a trade, profession or vocation (alone or in partnership).

5 Condition D is that, in calculating the profits of that trade, profession or vocation for income tax purposes, a deduction is allowed under ITTOIA 2005 for the expenses, but no such deduction is to be made.

6 In this section “director” has the same meaning as in the benefits code (see section 67).