Awkward Subject between Partner and I

androgenous

Hi Guys,

I need some advice.My significant other and I are going on Holiday next month.My other half is self employed so they can claim 40% of their costs back from the Taxman if they can show it is a business trip.So they are going to claim 40% of the cost of their flight which I don't have a problem with.

The problem I do have is they expect me to pay for half of the accomodation which is $500.However they are going to claim $400 (40% of $1000) Back off the revenue.The result is they will only pay $100 for their accoodation.I will be paying the other $500.

Am I being selfish by thinking we should pay $300 each.

I am thinking this beacause I if my partner went on their own the cost of their accomodation would be only marginally cheaper for a single room and the would pay around $500(tax reduction included) anyway for a room.

It is not really a question of one person being wrong and the other being right.Its jsut one being unable to see the others point of view.I brought it up once already and they said they were outraged.

If I am wrong and they are right fair enough.However if I need a few more opinions to clarify things before I bring it up again.Otherwise I will go on this Holiday resenting the situation and might end up ruining it for the both of us.This more than anything I will want to avoid.

I would apreciate any advice anyone can give me.

Thanks

Androgenous.

monkeyfudge

Of course it's wrong. It's tax fraud.

LegacyUser

Sounds to me like you are right...

King of Kings

although monkeyfudge is right morally I'll continue...

Can your partner not write you both in on a business trip and you both get the tax back?

If not then i feel, since it's clear you are going dutch on this hol, that they are paying half and it's not really your business that they can claim x,y and z back off teh tax man later - if fact it's gonna be about a year later before they see any bread back from the taxman so tbh they are paying the same as you at the moment.

androgenous

King of Kings wrote:

although monkeyfudge is right morally I'll continue...

Can your partner not write you both in on a business trip and you both get the tax back?

If not then i feel, since it's clear you are going dutch on this hol, that they are paying half and it's not really your business that they can claim x,y and z back off teh tax man later - if fact it's gonna be about a year later before they see any bread back from the taxman so tbh they are paying the same as you at the moment.

That is the thing I would assume if they could do this then it will work out as my parter paying the $300 instead of the $100 in the current situation.

Monkeyfudge is right it is TAX fraud but I'm sure you can understand why I'm not going to shop my partner to the cops.In a sense I would have preffered if I didn't know about it but my partners business affairs have affected the trip in other ways.Now that I do know about it is bothering me especially as I fell like I am further subsidising it.

RealJohn

From where I'm sitting, your "partner" seems like a pretty selfish person (no surprise in this day and age I suppose). If I was in your position, I'd be asking myself if I want to go on holiday with this person at all, not to mind who pays for what.

That notwithstanding, what your "partner" is doing, as has been pointed out, is tax fraud. Personally, I'd leave him/her to their fraud and pay my own way. Then again, I'd also try to talk them out of the fraud. But that's just me.

(I don't really blame you for wanting to split the cost half and half by the way but as has also been pointed out, realistically speaking, you're both paying 500 for now anyway, regardless of what gets claimed back later)

androgenous

RealJohn wrote:

From where I'm sitting, your "partner" seems like a pretty selfish person (no surprise in this day and age I suppose). If I was in your position, I'd be asking myself if I want to go on holiday with this person at all, not to mind who pays for what.)

TBH I have been thinking this way.

RealJohn wrote:

That notwithstanding, what your "partner" is doing, as has been pointed out, is tax fraud. Personally, I'd leave him/her to their fraud and pay my own way. Then again, I'd also try to talk them out of the fraud. But that's just me.

(I don't really blame you for wanting to split the cost half and half by the way but as has also been pointed out, realistically speaking, you're both paying 500 for now anyway, regardless of what gets claimed back later)

I think this is the answer to the conundrum.

Thanks Guys.

I am a man by the way and my "partner" is a woman.I was trying to avoid any potential gender bias in peoples answers

You've been a great help,

Thanks Again.

iguana

I'm sorry but I'm kind of confused by your post. Why do you keep referring to your partner in plural? You keep saying they and their instead of she and her. Are other people involved in this?

Victor

Don't go. After all, its a business trip and you aren't part of the business.

Alternatively, why should you pay to go on her business trip?

Geek Nose

spandex son wrote:

Sounds to me like you are right...

Why did you go unreg for such a non-controversial reply?

Victor

Geek Nose wrote:

Why did you go unreg for such a non-controversial reply?

On topic please. He possibly was logged out and didn't realise it.

Ishindar

"partners" should look after one another. life has many challenges, be aware that this partner probably wont look after u in your times of need.

ArphaRima

Personally I do think the OP is being unreasonable. At least inflexibile. If you want to make a point, both of you will pay now, just maybe ask to be included in the tax rebate. See if its possible.
Remember its your partners (illegal) perk. You should not be making demands.

Just my opinion of the situation.

jimmycrackcorm

Ishindar wrote:

"partners" should look after one another. life has many challenges, be aware that this partner probably wont look after u in your times of need.

That's quite a leap of judgment! Remember that both partners have to pay $500 up front. Just because the OPs partner is more tax efficient doesn't make her into a terrible person.

The Sweeper

Lying about the nature of a personal holiday to claim tax relief against the cost of the flight isn't tax efficient. It's also pretty risky - if I was her auditor, I'd check the following against her claim for a flight to the US:

What business what she hoping to generate?
Did she generate any business?
Has she proof of any meetings or appointments to support her claim?
What other expenses has she claimed, e.g. where's her claim against accommodation and subsistence for the trip?

It's all fun and games until your tax return is sent back to you with queries.

tbh

for me the main worry would be that she sees your funds as "hers" and "yours" and not "ours".

LegacyUser

'''The problem I do have is they expect me to pay for half of the accomodation which is $500.However they are going to claim $400 (40% of $1000) Back off the revenue.The result is they will only pay $100 for their accoodation.I will be paying the other $500.''

omg that's SOOO selfish of them. WTF!!!!! how could anyone be like that. Haha. I'd dump them. It should totally be 300 each... that's much fairer.'

Black Swan

Let me get this straight. The OP is complaining cause he does not benefit from a possible tax fraud? Would he feel better as a partner in a possible crime? Could it be that both are in the wrong, one for proposing the fraud, and the other for wanting a share in it? The OP needs to address these questions before committing to a course of action?

Red Hand

Blue_Lagoon wrote:

Let me get this straight. The OP is complaining cause he does not benefit from a possible tax fraud? Would he feel better as a partner in a possible crime? Could it be that both are in the wrong, one for proposing the fraud, and the other for wanting a share in it? The OP needs to address these questions before committing to a course of action?

I agree. Tax deductables can be found out by pursuing more wholesome activities.:)

Mitch Connor

The rebate should be shared imo - the partner is claiming tax back on his money afterall.

1112221217

1112221217 wrote:

'''The problem I do have is they expect me to pay for half of the accomodation which is $500.However they are going to claim $400 (40% of $1000) Back off the revenue.The result is they will only pay $100 for their accoodation.I will be paying the other $500.''

omg that's SOOO selfish of them. WTF!!!!! how could anyone be like that. Haha. I'd dump them. It should totally be 300 each... that's much fairer.'

Well from a purely accounting point of view,your partner wont get that money back for at least a year and maybe not at all if he/she doesnt make enough profit.
Also they will have to show your $500 as income and are liable to tax on that.
In actual fact $1000 would be quite marginal if they have any size of business at all and they are probably deluding themselves by thinking they are on a win with this.
You are also probably deluding yourself if you think your partner is either.

It's not as cut and dried as it looks.

Thats just at a glance,I dont know the exact details of your situation of course,but I'd imagine your partner is not making as much out of this as what you think.
Consider also that he/she may be tight on funds and may not be able to go on the trip if it's viability has the 1 year away refund factored in plus what is effectively an advance of half of the cost of your trip when he/she pays taxes on what you contribute.

milod

OP, from an accounting point of view, leaving the morality of tax fraud aside, why does your partner think she can claim tax relief on your outlay?

If you pay €500, that is a payment made for your travel and accommodation. As you are not an employee of the business, neither you nor your partner could claim the relief even if it were a bonafide business trip!

So to compound her lie, she must claim that the entire trip is at her expense. So essentially she wants to implicate you in her tax fraud and be the sole beneficiary of any saving in tax.

If you still actually want to travel with your partner, then you should suggest that she limit her tax fraud to her own portion of the outlay thereby not implicating you!

However on the basis of her combined greed, lax morality in terms of tax fraud, and her inability to logically perceive the unfairness of her plan, I would reconsider the trip...

the Guru

Seems like a strange relationship too me the use of the word "they" ???? whats the hell is that about. In any relationship I have ever been in everything has been split down the middle this goes with out saying, but if you've only been dating for a short time suck it up and enjoy the trip if it has been a while you have problems.

How long have you been with your partner?