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How to report meal allowance to HMRC 

The way meal allowances are reported to HMRC depends on how they are paid and whether they meet HMRC’s qualifying conditions.

Where payments fall within HMRC benchmark or approved scale rates and relate to qualifying business travel, they can usually be paid tax-free and do not need to be reported.

If meal allowances are taxable or exceed HMRC’s approved rates, they must be reported. In these cases, a P11D form for each employee who received meal reimbursements. This form details all the expenses that were paid to your employees.  

Additionally, you might need a P11D(b) form to summarise the total expenses and work out any Class 1A National Insurance contributions due. 

You can find a complete guide to reporting expenses and benefits on the HMRC website. 

Also, keep in mind that starting from April 2027, all benefits in kind (including meal allowances) will need to be reported and taxed directly through payroll. 

What happens if you go over HMRC meal allowance rates? 

Let’s look at a real-world example to make it easier to understand. 

 Imagine Sarah, who works for a tech company, and she’s travelling for work in the UK.  

Her company follows the HMRC meal allowance rates for 2026 (which are £25 per day). On her trip, Sarah spends £35 on a meal—so it’s over the HMRC’s standard allowance by £10.

The company has two options in this situation: 

1. Stick to the £25 HMRC rate: if the company chooses this option, they’ll only reimburse Sarah £25 for her meal. That means Sarah will have to cover the £10 difference herself. This is the simpler approach, as there’s no need for the company to worry about any additional tax or national insurance implications.
    
2. Reimburse the full £35: if the company wants to reimburse Sarah the full £35 (the actual cost of the meal), that’s where things get more complicated. The company would have to make sure they’ve agreed on a higher, bespoke scale rate with HMRC. If they haven’t done this, then the £10 excess over the £25 is considered taxable income, and it would be subject to tax and national insurance.  

Want to keep all your expenses, including meal allowances, in one place? 

Whether you follow HMRC’s meal allowance rates or set your own limits for your employees, with Capture Expense you can easily submit, track, and manage all your expenses. Book a demo today to see just how easy it is. 

VAT is a key part of doing business in Ireland (like almost everywhere else in the world), but figuring out the right Irish VAT rates to charge (or claim back) can be trickier than it seems.   

With different VAT rates for different goods and services—not to mention exemptions—it’s easy to get lost in the details. 

Let’s break down the VAT rates in Ireland for 2026. 

What are the Irish VAT rates? 

Here are the Irish VAT rates for 2026: 

To see how the rates have changed from previous years you can visit Revenue.

Now let’s take a closer look at each Irish VAT rate.

The standard rate

The standard rate applies to most goods and services in Ireland.  

Here are some examples:  

• Electronics (e.g. smartphones, laptops, TVs) 
• Alcohol and tobacco products 
• Jewellery and watches 
• Cars and motorbikes 
• Household appliances (e.g. washing machines, fridges) 
• Cosmetics and beauty products 
• Solicitor services 

The reduced rate

The reduced rate applies to the following:

• Catering and restaurant supplies (excluding alcohol, soft drinks and bottled water) 
• Hot take-away food, and hot tea and coffee 
• Hairdressing services 
• Certain fuels 
• Repair services 
• Cleaning and maintenance services  
• Certain photographic supplies 
• The importation of certain works of art and antiques 
• Hire of horses 
• Tour guide services 

Here’s the complete list of goods and services subject to Revenue’s reduced VAT rate. 

The second reduced rate

The second reduced rate only applies to items like newspapers, digital publications, and facilities for sporting activities. 

The zero rate

Some goods and services incur no VAT.  

The zero rate applies to the following: 

• Exports 
• Certain food and drink 
• Certain oral medicine, non-oral medicine, and sanitary products 
• Certain animal feeding stuffs, certain fertilisers, seeds and plants used to produce food 
• Supply and installation of solar panels on private dwellings and recognised schools 
• Clothing and footwear appropriate to children under 11 years of age 

Here’s Revenue’s full list of goods and services that qualify for the zero VAT rate in Ireland. 

The livestock rate

The livestock VAT rate applies to animals that are usually bred for food, like cattle, sheep, and pigs. It also covers certain horses—specifically those used in farming or food production. 

Stay on top of Irish VAT rates with Capture Expense 

Our smart expense management platform automatically applies the correct VAT rate to every transaction, so you don’t have to worry about miscalculations or compliance issues. Book a personalised demo today to see Capture Expense in action.

Mileage tracking is the process of recording the business distances employees drive so they can be accurately reimbursed—covering journey logging, distance calculation, rate application, and HMRC-compliant record keeping. But when you have to manage it across a remote workforce? That’s where most businesses run into trouble. 

When employees work across different cities or away from a fixed office, business journeys become harder to monitor. And if your teams still rely on spreadsheets and email chains to handle it, inflated claims, missed VAT reclaims, compliance risks, and delayed repayments are bound to happen. Want to get mileage tracking right? Look no further! 

This guide covers everything remote teams need to know about mileage tracking: the compliance basics, where manual processes break down, and how automation removes the admin entirely. 

HMRC mileage rules: everything you need to know 

Before diving into the practicalities, let’s first look at what HMRC actually requires when it comes to mileage tracking—because getting this wrong can be costly. 

Approved mileage allowance payments (AMAPs) 

HMRC sets approved rates for reimbursing employees who use their own vehicles for business travel. For the 2026/27 tax year, these are: 

• Cars and vans: 45p per mile for the first 10,000 business miles, 25p per mile after that 
• Motorcycles: 24p per mile 
• Bicycles: 20p per mile 

If you reimburse above these rates, the excess is taxable. If you reimburse below them, employees can claim tax relief on the difference. If you need any more information, you can refer to HMRC’s official guidance. 

What records does HMRC require for mileage tracking? 

To be compliant, every mileage claim should include: 

• The date of the journey 
• Start and end points (that’s actual addresses, not just towns) 
• The purpose of the journey 
• The total miles travelled 
• The vehicle used 

HMRC can request these records during an audit, and incomplete logs can result in disallowed claims and financial penalties. Keeping digital records, that are automatically generated and timestamped, is the safest and most efficient way to stay compliant.

The challenges of mileage tracking for remote teams 

Remote and hybrid working has introduced a new layer of complexity to managing mileage. Here are the most common pain points finance teams encounter:

1. Manual processes are prone to error 

When employees estimate distances themselves or rely on memory at the end of the month, it’s no shock that the figures aren’t accurate. Some underestimate; others overclaim without meaning to. Either way, your reimbursement data ends up unreliable.

2. Commute distance complications 

It is standard practice not to reimburse employees for commuting between home and office. But with remote workers making fewer in-office trips, identifying what counts as a business journey versus a commute becomes more complex. Without automated tools to deduct commute distance from claims, you risk reimbursing journeys that don’t qualify.

3. Cumulative mileage and changing rates 

HMRC’s Approved Mileage Allowance Payments (AMAPs) apply a higher rate for the first 10,000 business miles and a lower rate thereafter. Tracking this threshold manually across a growing remote team—especially one spread across different vehicles and fuel types—can create a significant administrative burden on your finance teams.

4. Missed VAT reclaims

Many businesses don’t realise they can reclaim VAT on the fuel portion of mileage expenses. If your business is VAT-registered, you can recover the VAT element of the advisory fuel rate—but only if you have accurate mileage logs and supporting fuel receipts. Without proper records, that VAT goes unclaimed. 

How VAT Works on Mileage Expenses 

If your business is VAT-registered, you can reclaim the VAT on the fuel element of mileage reimbursements—but only if you have the right records in place. 

HMRC publishes advisory fuel rates quarterly, which vary by fuel type and engine size. These rates represent the fuel cost for each mile driven. Because VAT at 20% means one-sixth of the gross fuel cost is VAT, the reclaimable amount is calculated by dividing the total fuel cost by six. 

To reclaim this VAT, businesses need to maintain accurate mileage logs and retain fuel receipts as evidence. The VAT on the fuel receipts must cover the amount being claimed, and receipts must be dated before the mileage claim is submitted. 

Over a full year, across a remote team making regular business journeys, unclaimed VAT adds up significantly. It is one of the most commonly missed savings in expense management. 

Reclaiming VAT on expenses in Ireland might not be the flashiest part of running a business—but for VAT-registered companies, it’s a valuable way to keep costs down and stay compliant with Revenue. 

For many businesses, keeping track of receipts, categorising expenses correctly, and calculating reclaimable VAT can quickly become time-consuming. This is where expense management software can help, by automatically capturing receipts, tracking spend, and organising VAT-eligible expenses so finance teams can simplify reporting and stay compliant.

Let’s take a look at the VAT rates, how to reclaim VAT on business expenses in Ireland, and some of the most frequently asked questions.  

The VAT rates in Ireland

Here are the Irish VAT rates for 2026:

 Who can reclaim VAT on expenses in Ireland?

If you run a business in Ireland and you’re registered for VAT, you can usually reclaim the VAT you’ve paid on business-related purchases and expenses.  

This includes things like office supplies, equipment, or travel expenses—as long as they’re used to make taxable supplies (that is, goods or services that are subject to VAT). 

But there are some exceptions. You can’t reclaim VAT on things used for: 

• Exempt supplies (like some financial or medical services) 
• Non-business activities (like personal use) 

If an expense relates to both business and non-business use, or taxable and exempt supplies, you can only reclaim the portion that’s directly linked to the taxable business activity. 

How do you reclaim VAT on expenses in Ireland? 

To reclaim VAT on expenses in Ireland, you need to complete a VAT return, known as the VAT 3 form.  

This is typically submitted every two months and includes details of the VAT you’ve charged your customers and the VAT you’ve paid on eligible business expenses. 

If the VAT you’ve paid on expenses is higher than the VAT you’ve collected, you can claim the difference back as a VAT refund. 

The bi-monthly VAT return deadlines 

How to claim VAT on fuel expenses in Ireland 

Let’s say you run a small business in Galway, and one of your employees—Pauline—regularly uses a company van to deliver products across the west of Ireland. 

Each time she fills up, she brings back a fuel receipt that shows the supplier’s VAT number, the VAT charged, and the date.  

Because the van is company-owned and used solely for business, you’re entitled to reclaim the VAT on those fuel costs when submitting your VAT 3 return. 

To do this, you’ll need: 

• A valid VAT invoice or receipt (a till receipt with VAT details is fine) 
• Proof that the vehicle is used only for business 
• Accurate records in case Revenue request them 

FAQs 

Can I reclaim VAT on meals, entertainment, or gifts?  

You generally can’t reclaim VAT on meals, entertainment, or gifts, as these are seen as personal or non-business expenses. That said, there are a few exceptions—like when the cost is directly linked to providing taxable goods or services, or if it’s part of a promotional campaign. But in most cases, Revenue takes a strict view, so it’s best to double-check the specifics or speak to a tax advisor before trying to claim anything back. 

What happens if I make a mistake on my VAT return? 

If you make a mistake on your VAT return, don’t panic—it happens! The key is to fix it as soon as you spot it. If it’s a small error (under €6,000), you can usually correct it in your next VAT return. Bigger mistakes, or ones that result in an underpayment, should be disclosed to Revenue straight away, ideally with an explanation. Being upfront can help reduce any penalties or interest charges, and Revenue tends to look more favourably on businesses that own up early rather than waiting to be caught. 

How far back can I claim VAT on past expenses in Ireland?  

You can usually claim VAT on past expenses going back up to four years from the end of the relevant VAT period. Just make sure you’ve got the proper documentation to support the claim (like a valid VAT invoice), and that the expense was genuinely for business use. 

Are you looking to claim VAT on expenses in Ireland without the usual hassle?  

Capture Expense makes it easy. It keeps all your receipts in one place, helps you spot what you can reclaim, and takes the stress out of staying compliant with Revenue.  

No more digging through paperwork or second-guessing what qualifies—just a simple, streamlined way to get your VAT back and keep your finances in order. Book a personalised demo today to see Capture Expense in action.    

We know why you’re here. You want the civil service mileage rates in Ireland for 2026. So, without further ado.  

The civil service mileage rates for 2026

Here are the civil service rates for mileage allowance in Ireland for 2026, set by Revenue, effective from 1st September 2022.  

The rates vary depending on the type of vehicle, which includes cars, motorcycles, or bicycles. They also depend on the distance bands and the mileage allowance rate in euros per kilometre.  

Civil service motoring and bicycle rates

Cars (rate per kilometre)

Motor travel rates (from 1 September 2022) 

For electric vehicles, mileage claims will follow the rate applicable to engine capacity 1201cc-1500cc. 

Reduced motor travel rates per kilometre 

Reduced mileage rates apply to work-related journeys that aren’t solely for job performance. Examples include attendance at approved courses or conferences. 

Motorcycles (rate per kilometre) 

Motorcycle rates (from 5 March 2009)  

Bicycles

Bicycle rates (from 1 February 2007) 

Staying compliant

Now, onto the nitty gritty.

In this guide, we’ll tackle the intricacies of car mileage allowance in Ireland for 2026. From what constitutes a business journey and how to calculate it, to submitting a compliant mileage claim.

Join us as we equip you with everything you need to know about civil service mileage rates in the Emerald Isle.
 

What is a business journey and how do you calculate it? 

A business journey refers to travel undertaken by an employee for work-related purposes. Specifically, when they travel from one place of work to another place of work as part of their duties.

This encompasses: 

• Travel between different countries, such as between Ireland and other countries. 
• Travel to a location that is not their usual place of work.

It’s worth noting that a business journey does not include commuting from home to the normal place of work and vice versa; this is considered private travel.

 Calculating the distance for business travel 

When calculating the distance for business travel, the relevant distance is the lesser of: 

• The distance between the employee’s home and the temporary place of work. 

• The distance between the employee’s normal place of work and the temporary place of work. 

Let’s take a look at an example: 

Imagine that the distance from your employee’s home to a temporary workplace is 50 km. And that the distance from their normal workplace to the temporary one is 30 km.

The business travel distance will be: 30km (the lower of the two distances). 

What’s not included in the mileage allowance?

Not all trips are eligible for reimbursement under the civil service mileage rates in Ireland.

The most common trips which aren’t included are

• Personal trips that aren’t directly related to your employee’s job. 
• Trips between your employee’s home and their regular workplace. 

How to submit a mileage allowance claim in Ireland

To be reimbursed for business-related vehicle expenses, your employees must complete a claim form provided by the company or Revenue. They must also submit evidence of the journeys made in their personal vehicle.

Your employees should keep the following evidence: 

• Receipts for petrol 
• Receipts for parking tolls 
• Any additional receipts pertaining to vehicle usage 
• Addresses visited during travel 
• Purpose of each journey 
• Recorded kilometres driven to and from business travel destinations

You must maintain accurate records of all your employees’ claims and provide full evidence to ensure compliance and avoid issues with Revenue.

It’s worth noting that if you have already reimbursed an employee’s expenses at civil service mileage rates, no additional tax relief will be applicable to the employee. 

How to keep track of your mileage expenses 

It’s essential for both you and your employees to maintain precise records of all work-related trips.

Failure to do so could result in Revenue requesting that these payments be treated as taxable income.

The required records include:  

• Name 
• Address(es) visited during travel 
• Date(s) of the work trip 
• Purpose of the journey  
• Distance travelled 
• The trip’s originating point, planned destination, and final destination 
• Documentation for reimbursement (e.g., receipts or mileage rate) 

FAQs

What is classed as normal place of work?

The normal place of work is where employees usually carry out their job duties. It’s typically where the employer provides the necessary resources for them to work. This might vary depending on the employee’s role. Generally, the normal place of work is not considered the same as where the employee lives. This is unless there’s an objective requirement for them to work from home because their tasks cannot be done elsewhere. If an employee chooses to work from home or if the tasks performed there are minor or administrative, it’s not considered their normal place of work. 

Are sole traders eligible to claim mileage?

Sole traders are not eligible to claim mileage using the civil service mileage rates. Instead, they can only claim for the actual expenses they incur, such as fuel, motor tax, motor insurance, hotels, and related expenses. To do this, sole traders should keep detailed receipts for the business portion of these costs. This ensures that their claims are accurate and compliant with tax regulations. 

Do the civil service mileage rates apply to emergency travel?

Yes, the civil service mileage rates do apply to emergency travel.

When an employee needs to work outside their normal hours to address emergencies requiring immediate attention, you can repay their travel expenses. This includes mileage, which can be reimbursed using the civil service mileage rates.

This reimbursement is tax-free and can be claimed for up to 60 emergencies per year. However, it does not apply to non-emergencies such as covering for absent staff, handling increased workloads, or attending routine events. 

Do the civil service mileage rates apply to voluntary work? 

Yes, organisations with altruistic and non-commercial functions, such as registered charities or sports bodies, can repay travel expenses to individuals working voluntarily and unpaid.  

These expenses are tax-free as long as they are necessary for the individual to perform their work and do not exceed the actual costs incurred. However, the payments must not exceed the civil service rates.

Never miscalculate mileage claims with Capture Expense

Capture Expense ensures compliance with Ireland’s civil service mileage rates by managing cumulative mileage bands and automatically calculating the correct reimbursement rates based on fuel type, engine size, and distance travelled.  

Our platform seamlessly integrates with Google Maps to accurately calculate your employees’ travel distances. It automatically selects the shorter route from either your employee’s home or their normal place of work. This ensures full compliance with Revenue’s guidelines. 

Allow your people to raise, submit and approve their vehicle expenses at any time, from any location through the Capture Expense app and streamline the way your organisation manages spend. Book your personalised demo now.  

Revenue is putting more and more effort into helping businesses of all sizes follow their rules and establish good financial practices. However, understanding expense compliance can still be tricky, and the penalties for mistakes can be serious. 

To help you better understand and comply with Revenue’s guidelines, we’ve created this comprehensive guide. Here, you’ll find clear and practical advice on claiming and processing expenses in Ireland, ensuring you stay on the right side of the regulations while maximising your financial efficiency.

Whether you’re a small startup or a large corporation, this guide aims to illuminate the path to seamless expense compliance in Ireland. 

How to make sure your business complies with Revenue 

Many people think Revenue inspectors only care about completed expense claims and receipts, but they actually review your entire travel and expense process.

The 6 key areas Revenue inspectors focus on

1. A clear and enforced policy

Make sure your business has a clear expense policy that all employees understand and follow.

2. Appropriate approval processes

Ensure that the right people are approving expenses at the right levels.

3. Appropriate documentation

Keep detailed records of all receipts and expense forms.

4. Appropriate checks and controls

Implement checks and controls to prevent errors and fraud. Regularly review these controls to ensure they are effective.

5. Tax and VAT compliance

Ensure that all expenses comply with tax and VAT regulations. You need to keep up to date with any changes in these regulations.

6. A robust and secure payment process

Use secure methods for reimbursing employees. Ensure payments are processed accurately and on time.

The VAT rates in Ireland

VAT is a general consumption tax that is charged directly on the sale of goods and services in Ireland.

Here are the rates for 2026:

It’s also worth noting that the supply of some services, such as financial, medical and educational services, are exempt from VAT. 

Who can reclaim VAT?

If you are selling goods or services that are subject to VAT, or you are involved in qualifying activities, you can reclaim VAT.

To do this, you need to submit a VAT 3 return. However, you cannot reclaim VAT on goods or services used for making exempt supplies or for non-business activities.  
 
For costs that relate to both taxable and non-taxable activities, you can only reclaim the VAT portion related to your taxable supplies.  
 
It’s also worth mentioning that you have up to four years to claim a VAT repayment.

What VAT can you not reclaim?

You cannot reclaim VAT on the following costs, even if you are registered for VAT and make only taxable supplies: 

• Food, drink, or personal services for you, your agents, or employees (unless part of a taxable service) 

• Accommodation (unless related to a qualifying conference) 

• Food, drink, accommodation, or entertainment included in advertising costs 

• Entertainment 

• Passenger motor vehicles (except stock or qualifying vehicles) 

• Petrol (unless used as stock-in-trade) 

• Contract work involving non-deductible goods 

• Goods subject to a margin scheme 

• Costs for property used for non-business purposes 

Civil service mileage rates in Ireland

You can reimburse your employees for using their personal vehicles for business journeys. This does not include commuting from home to their normal place of work.

You have the option to either reimburse the actual travel expenses incurred by the employee or provide a fixed mileage allowance per kilometre. 

Here are the new civil service rates for mileage allowance in Ireland for 2026, effective from 1st September 2022. 

Civil service motoring and bicycle rates

Cars (rate per kilometre)

Motor travel rates (from 1 September 2022)

For electric vehicles, mileage claims will follow the rate applicable to engine capacity 1201cc-1500cc.

Reduced motor travel rates per kilometre

Reduced mileage rates apply to work-related journeys that aren’t solely for job performance. Examples include attendance at approved courses or conferences. 

Motorcycles (rate per kilometre)

Motorcycle rates (from 5 March 2009) 

Bicycles

Bicycle rates (from 1 February 2007

If you’re interested in learning more about Civil Service Mileage Rates and how to calculate mileage claims click here.  

The civil service subsistence rates for 2026

Rates for assignments within the State

Overnight allowance

Domestic overnight subsistence rates (from 29th January 2025) 

The overnight allowance applies to assignments lasting up to 24 hours. The assignment must be at least 100 kilometres from your employee’s home and regular workplace. 

The rate category is determined by the duration of the assignment:

• The normal rate applies for up to 14 nights.
• The reduced rate applies for the following 14 nights.
• The detention rate applies for each of the next 28 nights. 

For assignments exceeding 56 nights, your employee must apply to Revenue to confirm that subsistence is still available.

The period of subsistence at any single location is limited to six months. 

Day allowances

Domestic day subsistence rates (from 29th January 2025) 

 The assignment must be more than eight kilometres from your employee’s home and normal workplace. It’s also worth noting that they can only claim both a day and overnight allowance if they work five hours or more the next day. 

Rates for assignments outside the State

Short term assignment 

Subsistence rates for short term assignments 

 These rates can be applied to a single temporary assignment abroad lasting up to six months. 

Long term assignment

A long-term assignment lasts over six months. During the initial month, you can provide subsistence at the overnight rate to help your employee find self-catering accommodation. For the rest of the assignment, you can cover reasonable accommodation costs and 50% of the ten-hour day rate.

If you have remote working expenses

You can make a payment of €3.20 per workday to a remote working employee without deducting:

• Income Tax 
• Pay Related Social Insurance (PRSI)
• Universal Social Charge (USC)

This payment is to cover expenses incurred such as broadband, heating and electricity costs. 

And for expenses higher than €3.20 per workday 

Your employee’s daily expenses might go over €3.20, and you can reimburse them for these costs. However, if the amount exceeds €3.20 per workday, you need to deduct tax from it.  
 
Make sure to keep records of all the payments made.

What you need to know about Enhanced Reporting Requirements

Starting January 1, 2024, your finance teams in the Republic of Ireland must adhere to updated payment reporting regulations; known as Enhanced Reporting Requirements (ERR). These regulations enhance transparency in expenditure but present challenges for timely compliance. The new reporting requirements are introduced by Section 897C of the Finance Act 2022.

What needs to be reported?

1. Small benefit exemption: you need to report the date paid and the value of the benefit.

2. Remote working daily allowance: report the total number of days, amount paid, and date paid.

3. Travel and subsistence payments: report the date paid and amount for each payment under the following categories:

• Travel (vouched and unvouched) 

• Subsistence (vouched and unvouched) 

• Site-based employees (including ‘country money’) 

• Emergency travel 

• Eating on site

How to report this

• Payments must be reported to Revenue at the time of payment or in advance.
• Submit reports via the Revenue Online Service (ROS), either manually or using accounting or ERP software.

What you need to know about digital record-keeping

In Ireland, you can go paperless by storing receipts digitally instead of keeping paper copies.

However, you must follow certain requirements to comply with the rules on storing, maintaining, transmitting, reproducing, and communicating records electronically.

One example of these requirements is ensuring the scan quality is high enough for the receipt to be easily readable.

You can find all the necessary requirements in Revenue’s Electronic Storage manual. 

4 easy steps to comply with Revenue

Here’s a very brief overview of what you need to do to make sure your business is fully compliant:

Step 1: designate specific individuals at appropriate levels to approve expenses

• Make sure that each expense is reviewed and authorised by someone with the appropriate level of authority and responsibility within your organisation, thereby maintaining accountability and preventing misuse of funds. 

• Ensure even the highest-ranking employees submit their expenses for approval.
   

Step 2: maintain a traceable audit trail

• Use an expense management system that tracks every step of the process.

• Make sure that every expense is logged and traceable from submission to approval and reimbursement. 

Step 3: keep valid evidence

• Always obtain valid VAT receipts and credit card slips for expenses.

• Attach these receipts to the corresponding expense claims.

Step 4: find an expense management system that fully complies with Revenue’s regulations 

• It is essential to identify an expense management system, like Capture Expense, that ensures complete compliance with all of Revenue’s regulations.
  

By following these guidelines, you can ensure your business meets Revenue’s requirements and is prepared for an inspection. 

The expenses software for total Revenue compliance

Get all the features and functionality you need to keep your employee expenses compliant, in one central platform. Book a demo to see Capture Expense in action. 

In the UK, SRS refers to the UK Sustainability Reporting Standards (UK SRS). While SECR remains mandatory, UK SRS marks a broader shift from limited, compliance-driven reporting towards consistent, regulated sustainability reporting that supports better business and investment decisions. 

In this guide, we explain what UK Sustainability Reporting Standards are, which UK businesses they affect, and the practical steps you can take now to prepare for UK SRS requirements.  

What is UK Sustainability Reporting Standards? 

UK SRS are the UK’s version of global sustainability reporting standards, closely aligned to the ISSB standards (IFRS S1 and S2). The purpose is to create a single, comparable framework for reporting sustainability-related risks and opportunities, particularly those that affect financial performance. 

Put simply, corporate sustainability is being treated with the same seriousness as financial reporting. 

Who does this effect? 

UK SRS will not apply to every business straight away. Compliance is being phased and targeted, but the scope is clear. Here’s who must comply: 

• UK-listed companies: This includes premium and standard listed entities. 
• Large UK companies: this is expected to include companies that meet two or more of the following: over £36 million turnover, over £18 million balance sheet total, or more than 250 employees.

Most SMEs will not be legally required to report under UK SRS in the early phases but will still be asked for more structured sustainability data, even without the legal requirement to report on it.  Those who will feel the impact most will be those who: 

• Supply large or listed companies 
• Are part of regulated or international value chains 
• Seek external investment, funding, or acquisition 
• Work with customers subject to UK SRS, CSRD, or ISSB-aligned reporting 

What do businesses need to report? 

UK SRS focuses on financially material sustainability risks and opportunities, including: 

• Greenhouse gas emissions across Scopes 1, 2, and 3, as well as other environmental impacts 
• Strategy aligned with government sustainability targets, including ESG standards 
• A focus on tracking sustainability performance against key metrics, alongside the progress against said targets 
• Any climate-related risks and opportunities 
• Global alignment that follows ISSB’s IFRS S1 and S2 standards with additional UK-specific requirements 
• Your use of resources and resource management, showing how you report on responsible environmental practices 
• Sustainability focused financial information 

One thing that is clear, is the shift in focus towards transparency in reporting; this includes any environmental impacts or risks.  

Why this matters for UK businesses 

While UK Sustainability Reporting Standards applies to larger businesses, it’s important to recognise its importance and how it will shape expectations across the wider market. The introduction of SRS influences: 

The expectations of investors  

As sustainability data will now be more closely aligned to financial reporting, the rise in SRS will inform access to capital and cost of funding for potential stakeholders or investors. The accuracy and transparency of your data can inadvertently impact the confidence potential investors have in your business and your stance on sustainability. 

A shift for non-mandated businesses 

Even if you don’t currently meet the conditions to begin UK SRS reporting in this early phase, there will be new expectations on the data that you do report. Providing structured, comparable data, even if you aren’t submitting it, is the new expectation. 

Operational data suddenly becomes reporting data 

Payroll, expenses, travel, procurement, and supplier data all feed sustainability disclosures. 

Delayed preparation can be costly 

While UK Sustainability Reporting Standards may not be in force just yet, it is important to be proactive ahead of its arrival. If you wait until it becomes a compulsory reporting requirement, there’s a change that the data you provide will be rushed and of poor quality. All which can lead to costly compliance fines.  

ESG tools can help support you as SRS comes into play, giving you access to high-quality, assurance-ready data that is already tied to your financial.  

How does UK Sustainability Reporting Standards differ from SECR? 

You might be wondering how this differs from the existing Streamlined Energy and Carbon Reporting framework already in place for many UK businesses. While they both aim to improve transparency around the climate impact of businesses, the scope they both cover differs. Here’s a side-by-side comparison that shows where the two overlap, and what new requirements are coming into place:  

What can you do now ?

Wondering what you can do now to anticipate SRS? Luckily for you, we’ve pulled together a practical list to get you started: 

• Map where sustainability data already lives across your business, so you understand what is available today and where gaps exist. 
• Improve consistency and audit trails by standardising how data is captured, approved, and stored. This reduces risk as reporting expectations increase. 
• Reduce reliance on spreadsheets and disconnected tools, which make sustainability reporting harder to scale and harder to trust. Embracing carbon reporting tools can help to give visibility of your carbon spend and your actual spend.  
• Align finance, payroll, HR, and spend data early, creating a clearer, more reliable picture of your organisation’s impact. 

Get ready for UK Sustainability Reporting Standards 

UK Sustainability Reporting Standards means sustainability reporting in the UK is becoming structured, regulated, and unavoidable. Even if you are not legally required to report yet, your customers, investors, or partners soon will be. 

If you’re looking for advice on how to integrate sustainability into your financial reporting, book a demo to see how Capture Expense can help give you greater visibility and align environmental efforts with your expenses.  

Imagine this; you and a handful of your employees are planning a business trip for a few days. 

The schedule is packed with meetings during the day and some fun team-building activities in the evening. 

 While the business side is all set, you’re still unsure about the right travel allowance to provide your employees. 

You’ve probably got a few questions like: What are Revenue’s civil service overnight rates in 2026? How do I reimburse my employees for overnight trips? Are there any exceptions?

If these are some of the questions on your mind—you’ve definitely come to the right place. 

What’s a travel allowance in Ireland? 

A travel allowance in Ireland is a payment made to employees to cover the costs they incur while travelling for work-related purposes.  

This can include reimbursing expenses like accommodation, meals, or other costs when they’re working away from their usual workplace.  

It can also involve mileage payments for using their personal vehicles—like cars, motorcycles, or bicycles—for business travel. 

What are the civil service overnight rates within the State? 

Here are the civil service overnight rates within the State for 2026: 

Standard domestic subsistence rates 

Overnight allowance applies to assignments lasting up to 24 hours and must be at least 100km away from your employee’s home and usual workplace.

The rates depend on the duration of the assignment:

• The normal rate applies for the first 14 nights. 
• The reduced rate covers the following 14 nights. 
• The detention rate applies for the next 28 nights.

If the assignment goes beyond 56 nights, you’ll need to reach out to Revenue to confirm that subsistence can still be paid.  

Keep in mind, the period of subsistence at any single location is limited to six months.  

Vouched accommodation (Dublin only) 

What are the civil service overnight rates outside the State? 

Here are the civil service overnight rates outside the State for 2026:  

For a short-term assignment 

It’s worth noting that these rates can be applied to a single temporary assignment abroad lasting up to six months.  

For a long-term assignment 

In case you didn’t know, a long-term assignment is anything over six months.

During the first month, you can provide subsistence at the overnight rate to help your employees find self-catering accommodation.  

For the rest of the assignment, you can cover reasonable accommodation costs and 50% of the ten-hour day rate. 

How to reimburse your employees for overnight trips in Ireland 

Here’s how you can reimburse your employees for overnight trips in 2026.

You have three options:

• Use the civil service rates: this is by far the easiest option. You can reimburse your employees using the official civil service subsistence rates set by Revenue (see above). These rates are pre-approved and tax-free.
• Set your own rates: if you prefer, you can set your own reimbursement rates—but they must be equal to, or lower than, the civil service rates.
• Reimburse actual costs: you can also pay your employees back for the exact amount they spent on their trip.

Are there any conditions when reimbursing employees’ actual subsistence costs?

Yes, you’ll need to make sure that: 

• The expenses were incurred wholly, exclusively, and necessarily when carrying out the duties of their employment. 
• The costs were repaid on the basis of vouched receipts (such as hotel receipts). 

Please note that if you want to pay more than the civil service rates for overnight trips, you’ll need to get special approval from Revenue. 

Let’s look at some examples

Within the State

One of your employees, Alexis, is traveling from Dublin to Galway for a two-day conference.  

She leaves her home (in Dublin) early on Monday morning, and stays overnight in Galway, before returning late Tuesday evening. 

When Alexis returns, she submits a claim for her overnight travel allowance. Since Galway is more than 100 km from her home and workplace, and her stay lasted more than 24 hours, she qualifies for the civil service overnight allowance.

Using the civil service overnight rates, Alexis can claim the normal rate of €205.53 for her overnight stay.  

Outside the State 

You send David on a temporary assignment to Paris for three months to support an ongoing project. 

Since David’s assignment is abroad, he can claim a subsistence allowance under the civil service rates for overseas trips. Here’s how it works for his three-month stay: 

For the first 30 days of his assignment, David qualifies for 100% of the normal overnight rate. For example, if the rate for Paris is €180 per night, he can claim the full €180 per night for this period. 

For the next 60 days, David qualifies for 75% of the normal overnight rate. Using the same example (€180), he would receive €135 per night during these two months. 

Assuming you reimburse David using the civil service overnight rates, here’s the breakdown:

• First 30 days: €180 x 30 = €5,400 
• Next 60 days: €135 x 60 = €8,100
• Total reimbursement: € 13,500 

Have you met Capture Expense?

Whether you’re using the civil service overnight rates or setting your own rates (within the approved limits, don’t forget), Capture Expense will make sure that all your reimbursements are accurate, timely and in full compliance with Revenue. Book a demo today to see just how easy it is to use.