»Ê¹ÚÌåÓýapp

»Ê¹ÚÌåÓýapp general rule for employeesâ€� expenses is very restrictive. All of the tests imposed by section 336 ITEPA 2003 must be passed before a deduction is obtained. »Ê¹ÚÌåÓýapp tests are stringent and exacting, see EIM31636. It is important that you get all of the facts before you make a decision, see EIM31635.

A deduction should only be given to the extent that an expense has actually been incurred. This is illustrated by examples at EIM31631, EIM31632 and EIM31633.

»Ê¹ÚÌåÓýapp rules for travelling expenses are different to the general rule for employeesâ€� expenses, see EIM31810.

»Ê¹ÚÌåÓýapp tests that apply before a deduction can be permitted under section 336 are

• the expense must be one that each and every holder of that employment would have to incur, see EIM31640
• the expense must be necessarily incurred, see EIM31645
• the expense must be incurred in the performance of the duties of the employment, see EIM31650
• the expense must be incurred and paid , see EIM31655
• the expense must be wholly and exclusively so incurred, see EIM31660

»Ê¹ÚÌåÓýappre is a useful summary of these tests in paragraph 8 of the judgment of Lightman J.in Ansell v Brown (73TC338).