Any payments 'wholly and necessarily' incurred for the business can be set off against the corporate tax bill, and this includes subsistence payments - both accommodation, and the cost of meals while away from home. There is no limit, though HM Revenue and Customs might start asking questions if the hotel bills were quite obviously disproportionate to the success of the business and the standing of the individual running them up.
Where a business makes subsistence payments to an employee - whether by way of a refund, a scale charge or a round sum payment - the amount must be entered on the employee's P11D, and then set off by the employee against income in order to claim tax relief. However, provided that HMRC is satisfied that the business is paying the employee no more than the expenses incurred, and there are reasonable systems for monitoring and auditing them, it may be possible to obtain a 'dispensation' from your local tax office, so that you do not have to declare such payments.
