NIM05737 | Class 1 NICs: Expenses and Allowances: Mileage allowances: Rules before 6 April 2002: Passenger and/or equipment rates

Regulation 26 and paragraph 9 of Part 8 of Schedule 3 to the Social Security(Contributions) Regulations 2001

This needs to be read in the context of NICS treatment that applied pre 06 June 2002

There is no NICs liability on any payment an employer makes to an employee to cover additional expenses incurred in carrying passengers and or equipment, providing the payment relates specifically to the carrying of a passenger on a business journey.

You must be satisfied that an additional expense has been incurred in carrying passengers or equipment.