Mileage Claim

[hillbob]

Hi, so, another thread regarding Mileage. I'm sure it is a simple question but neither of us have had to claim before. Girlfriend just started a new job based only half a mile away from home so can walk there if she feels like it.

She is required to travel to other offices from time to time. She doesn't get a car allowance, no fuel card.
Basically its our own car and she will just use our own fuel and keep a note of the mileage she does whilst using it for business. They will pay her 40p a mile which I presume they will reimburse into her wages.

Is the 40p a mile about right and does she have to do any other forms for HMRC or anyone?

Thanks

[Muzzer79]

If she has no car allowance/co. car or fuel card, that's correct.

Some companies provide a car allowance and as such, pay a lower fuel rate. Our staff get 14p currently.
You can then claim the remaining 26p (up to 10k business miles) from HMRC by filling out the appropriate forms with HMRC.

Fuel card users get nothing, as their fuel is paid for.

[knotweed]

That's correct, nothing else she needs to do except make sure her insurance covers her for business use.

If I have to use my own car for work I get 45p a mile back, as iirc that's that maximum amount you can claim back without it having to be taxed.

[hillbob]

Thanks, thought it would be a nice simple one. But as neither had to do it before wasn't sure. And don't want her panicking as she does. All my expenses get put on a company credit card which is easy for me. Hand the receipt in and all is good, no claiming.

[Super Slo Mo]

Muzzer79 said:

If she has no car allowance/co. car or fuel card, that's correct.

Some companies provide a car allowance and as such, pay a lower fuel rate. Our staff get 14p currently.
You can then claim the remaining 26p (up to 10k business miles) from HMRC by filling out the appropriate forms with HMRC.

Fuel card users get nothing, as their fuel is paid for.

Almost. The HMRC allowance is 45 pence for the first 10k miles, 25 pence thereafter. You can't claim the difference of 31 pence back from HMRC, rather you claim the tax back that you've already paid on that 31 pence.

[Muzzer79]

Super Slo Mo said:

Muzzer79 said:

If she has no car allowance/co. car or fuel card, that's correct.

Some companies provide a car allowance and as such, pay a lower fuel rate. Our staff get 14p currently.
You can then claim the remaining 26p (up to 10k business miles) from HMRC by filling out the appropriate forms with HMRC.

Fuel card users get nothing, as their fuel is paid for.

Almost. The HMRC allowance is 45 pence for the first 10k miles, 25 pence thereafter. You can't claim the difference of 31 pence back from HMRC, rather you claim the tax back that you've already paid on that 31 pence.

I stand corrected - I was looking at years 2002-2011.

[elanfan]

Make sure she has business use on her insurance.

[mfmman]

Muzzer79 said:

.

Fuel card users get nothing, as their fuel is paid for.

Even with a fuel card, you can still total up the amount of fuel bought that was used for business use on the card and deduct from the equivent of the 45p/25p AMAP allowance. You can then claim back the tax rebate against this sum

Example 5000 miles at 45p = £2250.00

Cost of business fuel perhaps £750.00 (based on 15p per mile fuel cost)

£1500 at 20% = £300 rebate


To calculate cost of business fuel I used to record total fuel cost for the year then work out percentage split of business to private mileage and split the fuel cost accordingly

[Wills2]

Muzzer79 said:

Super Slo Mo said:

Muzzer79 said:

If she has no car allowance/co. car or fuel card, that's correct.

Some companies provide a car allowance and as such, pay a lower fuel rate. Our staff get 14p currently.
You can then claim the remaining 26p (up to 10k business miles) from HMRC by filling out the appropriate forms with HMRC.

Fuel card users get nothing, as their fuel is paid for.

Almost. The HMRC allowance is 45 pence for the first 10k miles, 25 pence thereafter. You can't claim the difference of 31 pence back from HMRC, rather you claim the tax back that you've already paid on that 31 pence.

I stand corrected - I was looking at years 2002-2011.

Well that's still incorrect for 2002-2011, you can only claim tax relief on the difference between what you get paid per mile vs. the maximum allowance as super slo mo stated.

Edited by Wills2 on Friday 6th February 22:38

[jjones]

elanfan said:

Make sure she has business use on her insurance.

Get this sorted, get her to ask the employer if they agree to cover this cost also.

[TwigtheWonderkid]

jjones said:

elanfan said:

Make sure she has business use on her insurance.

Get this sorted, get her to ask the employer if they agree to cover this cost also.

That's what the 40p a mile she is getting is for, fuel, wear and tear, extra insurance.