HMRC Mileage Claim

[harding1985]

Evening all,

I recently put a mileage claim to HMRC for using my own vehicle for years 2011-2012 and 2012-2013 the question is how am I reimbursed?

Is it via cheque or a change in tax code?

Thanks in advance....

Dave

[750turbo]

Very probably depends on the value?

Me, I just send them a cheque, as my mileage has been gradually dropping over the years... (And they seem unable to factor this into my PAYE code)

I look on it as an interest free loan

[PurpleMoonlight]

Tax refunds are usually paid via cheque or BACS, or if you pay bi-annual tax on account each year it will offset against that.

[harding1985]

The claim is for just under 5k

[PurpleMoonlight]

Gees, you must do some mileage or your employer pays a pittance.

[harding1985]

PurpleMoonlight said:

Gees, you must do some mileage or your employer pays a pittance.

I do roughly 13k a year business mileage per annum, obviously I have this in expense records if HMRC need to see this info.

[PurpleMoonlight]

Doesn't your employer pay anything?

You do realise it's only the tax on the difference between what the employer pays and HMRC approved rates you can claim, don't you?

[harding1985]

PurpleMoonlight said:

Doesn't your employer pay anything?

You do realise it's only the tax on the difference between what the employer pays and HMRC approved rates you can claim, don't you?

Yep, I actually spoke to HMRC before I submitted the claim and they confirmed how much was owed.

I get 18p a mile using my own vehicle, according to HMRC I can claim back 45p per mile upto 10k, (so 27p per mile)

I just didn't know how the money was paid back.

[PurpleMoonlight]

harding1985 said:

Yep, I actually spoke to HMRC before I submitted the claim and they confirmed how much was owed.

I get 18p a mile using my own vehicle, I can claim back 45p per mile upto 10k, (so 27p per mile)

I just didn't know how the money was paid back.

You have the wrong end of the stick.

You are claiming tax relief on the 27p per mile not the 27p per mile itself.

So I would guess you will get either 20% or 40% of the £5000 back depending on your marginal tax rate.

[Dodsy]

Dont forget you only get tax relief on that amount. So if you pay 40% tax then you get 40% of 27p not the whole 27p. My tax return asks where to send the money i just give then sort code and account number . This year the money was in my account less than a week after submitting my online return.

Eta also you can claim 25p over 10k miles

Edited by Dodsy on Friday 24th January 19:22

[harding1985]

PurpleMoonlight said:

You have the wrong end of the stick.

You are claiming tax relief on the 27p per mile not the 27p per mile itself.

So I would guess you will get either 20% or 40% of the £5000 back depending on your marginal tax rate.

Oh right, I've only gone by what the HMRC employee has told me… as I'm sure you can tell I haven't got a clue regarding the mileage claim.

[harding1985]

Dodsy said:

Dont forget you only get tax relief on that amount. So if you pay 40% tax then you get 40% of 27p not the whole 27p. My tax return asks where to send the money i just give then sort code and account number . This year the money was in my account less than a week after submitting my online return.

Eta also you can claim 25p over 10k miles

Edited by Dodsy on Friday 24th January 19:22

Thanks, the form I completed was a P87 as recommended by the HMRC employee.

[PurpleMoonlight]

Dodsy said:

Eta also you can claim 25p over 10k miles

Edited by Dodsy on Friday 24th January 19:22

Less the 18p on this instance, so 7p per mile x 3000.

[willisit]

Same deal here, but due to the amount I needed to claim (similar story of 15p per mile) I had to do self assessment. As mine was a one-off (I changed jobs) I'm getting it as a set amount, but if it's regular, they'll change your tax code.

[harding1985]

Thanks for your help all it seems like a lot of you are better advisors than HMRC lol

Nothing ventured is nothing gained, i'll be happy with anything that i'm legally entitled to

[Fastdruid]

I sent mine in not that long ago, mine was only for ~£450 (paid 26p/mile against being 'allowed' 45p)

I got a new tax code and a refund check (for about £150)

[Sir Bagalot]

You get paid 18p per mile? I would seriously question using my own car.

With fuel @ £1.35, if your car does 30mpg your fuel is costing you 20.5p per mile. Even with 40mpg it's 15.4p per mile.

This excludes extra servicing, tyres, additional insurance and at 13K pa the extra depreciation!

Seriously, sit down and do your sums.

[harding1985]

Sir Bagalot said:

You get paid 18p per mile? I would seriously question using my own car.

With fuel @ £1.35, if your car does 30mpg your fuel is costing you 20.5p per mile. Even with 40mpg it's 15.4p per mile.

This excludes extra servicing, tyres, additional insurance and at 13K pa the extra depreciation!

Seriously, sit down and do your sums.

I receive a monthly car allowance that covers additional costs of servicing etc.

[Wills2]

So do I but I still get 45p for the first 10k and 25p thereafter.

(although I admit that is quite generous)

Then again with the price of fuel/insurance/servicing/tyres etc it probably isn't.

[harding1985]

Wills2 said:

So do I but I still get 45p for the first 10k and 25p thereafter.

(although I admit that is quite generous)

Then again with the price of fuel/insurance/servicing/tyres etc it probably isn't.

Sounds like i'm getting a raw deal lol