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sinizter
Original Poster
3,346 posts
55 months
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Is it possible to have a fuel card without having a company car ?
If so, how would the tax liability be calculated ?
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CaptainSlow
4,074 posts
81 months
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Yes, I used to have one.
The value of the fuel spent on the card was put on my P11d. I would then put the claim on my tax coding for business mileage (mileage X HMRC approved rate).
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sinizter
Original Poster
3,346 posts
55 months
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Not much use if the whole amount would be taxed as normal.
Also my car expense is claimed on a percentage of total costs proportionate to business use, which is always higher than 45p and a lot more than 10,000 miles per year.
Isn't there a calculation based on the CO2 emissions or similar for fuel card use ? One which would be beneficial if you do high personal mileage ? Or does that only apply to people with company cars as well ?
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swerni
19,823 posts
79 months
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C02 doesn't come into the fuel card calculation.
I ran my Camaro on mine, it just meant I used more fuel than anyone else.
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sinizter
Original Poster
3,346 posts
55 months
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swerni said: C02 doesn't come into the fuel card calculation.
I ran my Camaro on mine, it just meant I used more fuel than anyone else. So, how much tax did you pay on it ? 20/40% of whatever you used ? Or 20/40% of a fixed figure? Or did you return the private miles of fuel worth of money to the employer and so pay no additional tax ?
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swerni
19,823 posts
79 months
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I paid £80 per month towards my private mileage.
I sumitted a mileage sheet every month for the business miles
They then calculated the BIK from my private miles deducted the £960 and I paid 40% on that.
My card was for both work an personal use.
You can also claim mileage on the tax return for the business miles.
Am sure Eric will be along soon to explain it correctly.
I will see if I can dig out the paperwork in the morning.
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sinizter
Original Poster
3,346 posts
55 months
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I guess my question can be really condensed into
- Can I have a fuel card without a company car (Answer: Yes)
- Can I pay a fixed sum to the company or as tax liability, so that I can benefit on my private mileage ?
Currently I claim a proportion of total expenditure on car as business (fuel, repairs, servicing, tyres, everything you can imagine to do with the car). This has historically always been higher than 40p/25p (now 45p/25p).
I've got a new (used) car as of January and the total running costs are likely to exceed 45ppm, so I would prefer to continue claiming as I have rather than the 45p/25p rates.
I do a lot of miles (32-36k/year), both private (20%) and business (80%).
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Jubal
859 posts
98 months
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sinizter said: Currently I claim a proportion of total expenditure on car as business (fuel, repairs, servicing, tyres, everything you can imagine to do with the car). This has historically always been higher than 40p/25p (now 45p/25p). Physically how do you do this? Do you calculate both figures and use the higher? How do you then fill in the SA? I feel like I've been missing a trick hearing this.
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swerni
19,823 posts
79 months
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Got my P11d - this is how my liability on the card was worked out,
total fuel bill subtract the following
contribution (£960 per year)
Business mileage allowance ( in my case 17.9p per mile)
What is left is the benefit in kind and taxed at what ever rate you're on.
I then claim back the difference between the 17.9p and the government rates in my year end self assessment for the business miles.
HTH
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Eric Mc
67,249 posts
134 months
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No need for me to explain. Swermi has done a good job.
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swerni
19,823 posts
79 months
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That's a first 
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sinizter
Original Poster
3,346 posts
55 months
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Jubal said: sinizter said: Currently I claim a proportion of total expenditure on car as business (fuel, repairs, servicing, tyres, everything you can imagine to do with the car). This has historically always been higher than 40p/25p (now 45p/25p). Physically how do you do this? Do you calculate both figures and use the higher? How do you then fill in the SA? I feel like I've been missing a trick hearing this. You definitely cannot chop and change every year. I have been advised that you can claim for one car only through one of these methods - so pick one and stick with it. When you change your car, you can then change - although what happens when you change your car mid-way through a year, I have no idea. Until now, all the cars I have run have cost more than 40p per mile to run (Z4, then a E92 M3). So, that is the only way I have claimed. Being a driver without too much experience, the insurance costs were high as well. Depreciation is also higher considering both the cars and the miles that I do. The new car is lower down the expense scale (530D) but with total expenditure including various insurances, service packs, winter tyres, new normal tyres, etc, might also come close to or just go over the 45p number this year.
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bogie
8,943 posts
141 months
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had one for nearly 10 years - the value of the fuel is reported on my P11D as a benefit, so im taxed on that, then keep record of business miles, and claim back tax as an expense, on 45p a mile for first 10K miles and 25p a mile thereafter
usually works out ive done enough business miles so Ive had "free fuel" all year and they owe me a enough to get the car serviced
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sinizter
Original Poster
3,346 posts
55 months
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Sounds like there would be no benefit to having a fuel card as it would be taxed just as if I had an increase in income equivalent to the fuel spend.
I appreciate everyone taking the time to read and reply. Thank you.
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bogie
8,943 posts
141 months
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sinizter said: Sounds like there would be no benefit to having a fuel card as it would be taxed just as if I had an increase in income equivalent to the fuel spend.
I appreciate everyone taking the time to read and reply. Thank you. yes that part is correct - if you get given £8k of fuel, you get taxed as you would be for earning an extra £8k ...thats normal then you claim back tax relief on 45p a mile for 10K miles and 25p thereafter...so if you do 20K business miles a year you get the tax back on £7000 a year
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deanobeano
209 posts
52 months
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Bit of a hijack (sorry)
If you have a company car and pay all of the relevant P11d BIK, can you then claim 45p per mile for using your own car?
Say, for example, you wanted to do business trip with your own car and leave the company car at home ('cos its a Prius and soulless)
All assuming your company is okay with it in principle.
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swerni
19,823 posts
79 months
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sinizter said: Sounds like there would be no benefit to having a fuel card as it would be taxed just as if I had an increase in income equivalent to the fuel spend.
I appreciate everyone taking the time to read and reply. Thank you. Huge benefit on private mileage. If you're on 40% and petrol were £1.50 a litre, you would only be paying 60p i.e the tax on it. Most of my mileage was private rather than business.
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bogie
8,943 posts
141 months
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deanobeano said: Bit of a hijack (sorry)
If you have a company car and pay all of the relevant P11d BIK, can you then claim 45p per mile for using your own car?
Say, for example, you wanted to do business trip with your own car and leave the company car at home ('cos its a Prius and soulless)
All assuming your company is okay with it in principle. yep, I dont know any reason why you cant, as long as your company are ok with it ...each car is essentially a seperate tax item in that respect
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