company car mileage claim
Discussion
My husband has a car leased through his company. He gets paid 12ppm for his mileage but has been told (by other employees) that he can claim additional mileage via his tax return. from what i can tell, the only additional he can claim is to match the HMRC Advisory Fuel Rates (therefore, possibly 1-3 pence per mile).
Does anyone know if this is correct? he gets tax relief on 34p. im not sure that he is entitled to anything else but if he is....i want to get his (my) hands on it!
Does anyone know if this is correct? he gets tax relief on 34p. im not sure that he is entitled to anything else but if he is....i want to get his (my) hands on it!
HMRC says you can have 45p a mile tax free for 10K miles and 25p thereafter
so if you are paid by employer 15p a mile, you get tax relief on the other 30p
theres a thread every week on this, and its a documented HMRC system, you just fill out your self assessment, keep records and get a tax rebate each year or they build it into your tax code if its regular enough
so if you are paid by employer 15p a mile, you get tax relief on the other 30p
theres a thread every week on this, and its a documented HMRC system, you just fill out your self assessment, keep records and get a tax rebate each year or they build it into your tax code if its regular enough
kejoma said:
neither do i! lol. he fills in his mileage and they send it back showing the amount paid, a tax relief amount and a differential amount.
It sounds like he might have an ECO - employee car ownership - scheme in which case the car is technically his own, but all the tax relief should be worked out by the scheme operator.If the company leases the vehicle, it is deemed to be a "Company Car" and therefore he cannot make a claim at the 45p level. The 45p claim relates to employees who use their own personal car for work related journeys.
In the case of a company car, there are often two aspects to the car - the Benefit in Kind on the car itself, and the Benefit in Kind on the provision of fuel by the employer.
If the employer does NOT provide fuel for the car and the employee DOES make work related trips, that is when he can claim 12p per mile to recover the cost of fuel paid for on those business trips (if claiming from the employer or to obtain tax relief on the business mileage (if claiming tax relief from HMRC).
In the case of a company car, there are often two aspects to the car - the Benefit in Kind on the car itself, and the Benefit in Kind on the provision of fuel by the employer.
If the employer does NOT provide fuel for the car and the employee DOES make work related trips, that is when he can claim 12p per mile to recover the cost of fuel paid for on those business trips (if claiming from the employer or to obtain tax relief on the business mileage (if claiming tax relief from HMRC).
kejoma said:
My husband has a car leased through his company. He gets paid 12ppm for his mileage but has been told (by other employees) that he can claim additional mileage via his tax return. from what i can tell, the only additional he can claim is to match the HMRC Advisory Fuel Rates (therefore, possibly 1-3 pence per mile).
Does anyone know if this is correct? he gets tax relief on 34p. im not sure that he is entitled to anything else but if he is....i want to get his (my) hands on it!
Right, lesson 1 ..he cannot claim additional mileage. That would be fraud!!Does anyone know if this is correct? he gets tax relief on 34p. im not sure that he is entitled to anything else but if he is....i want to get his (my) hands on it!
What he can do is downloadable V87 form from HMRC and claim back the tax on the difference between what his employer pays him per mile (12p) and what HMRC allows them to pay ( currently 18p) per mile.
If he is a 40% tax payer he will get that returned.
ArmaghMan said:
Right, lesson 1 ..he cannot claim additional mileage. That would be fraud!!
What he can do is downloadable V87 form from HMRC and claim back the tax on the difference between what his employer pays him per mile (12p) and what HMRC allows them to pay ( currently 18p) per mile.
If he is a 40% tax payer he will get that returned.
If there was an award for the most amount of wrong information in the smallest amount of space, then that post would surely win.What he can do is downloadable V87 form from HMRC and claim back the tax on the difference between what his employer pays him per mile (12p) and what HMRC allows them to pay ( currently 18p) per mile.
If he is a 40% tax payer he will get that returned.
Absolutely everything written there is wrong.
Deva Link said:
ArmaghMan said:
Right, lesson 1 ..he cannot claim additional mileage. That would be fraud!!
What he can do is downloadable V87 form from HMRC and claim back the tax on the difference between what his employer pays him per mile (12p) and what HMRC allows them to pay ( currently 18p) per mile.
If he is a 40% tax payer he will get that returned.
If there was an award for the most amount of wrong information in the smallest amount of space, then that post would surely win.What he can do is downloadable V87 form from HMRC and claim back the tax on the difference between what his employer pays him per mile (12p) and what HMRC allows them to pay ( currently 18p) per mile.
If he is a 40% tax payer he will get that returned.
Absolutely everything written there is wrong.
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