HMRC: Driver CPC training is not intrinsic to driver's job

HMRC has said that drivers cannot claim tax relief on travel expenses incurred attending a Driver CPC training because it was not an “intrinsic part” of his job as a driver.

In a letter seen by Commercialmotor.com the Revenue sets out a position that drivers cannot claim expenses for attending a Driver CPC course against their  income.

The letter is in response to a claim by a York-based driver who claimed travel expenses for attending four Driver CPC courses throughout tax year 2010.

It refuses the claim and states that “[the] job us driving and not attending training. As such, the training is not an intrinsic part of your duties”.

It continues: “[HMRC acknowledges] your comments that you will require the qualification in order to continue driving as a profession. However, this in itself does not make the training a integral part of your job.”

The York-based owner operator had completed four courses of training this year, and said he only required one more course to meet the statutory minimum of 35 hours of Driver CPC training to obtain the qualification.

He said that he had spend some £500 on travel expenses to attend the four training courses and, as a result, filled in a P87 form to send to HMRC to claim tax relief for expenses of employment.

In the letter HMRC says that the owner operator can challenge the decision.

In a statement HMRC said drivers who are employed by a firm are entitled to tax relief only for expenses incurred "wholly, exclusively and necessarily in the performance of” their employment duties. 

A spokesman added: “The courts have repeatedly confirmed that in most cases, expenditure on training is not incurred “in the performance of” an employee’s duties, but only to put them in a position to perform their duties and doesn’t therefore qualify for tax relief.”

However the self-employed, i.e. owner-drivers, can claim a deduction for expenses “on maintaining or updating existing skills, knowledge or expertise”.