Fuel Card Tax Question

[JagJag363]

Hi all,

I've done a search and this has been asked loads but people's scenarios were slightly different to mine.

In a new job i'll get getting a fuel card and car allowance.
Every month i'll have £60 deducted from my salary to pay for my private mileage.

Will I still incur fuel card tax payments even if i'm paying for the personal mileage?

Seems a bit crap if so as I won't do loads of personal miles and was also thinking of getting a car a bit more 'fun' but after seeing the C02 figures will affect my tax then that idea will be parked!

Cheers.

[devnull]

That sounds like a st deal.

When I had a fuel card, it went like this:

• Purchase all fuel on fuel card.
• Log all business milage
• Fuel card use appeared as "vouchers" on P11D
• On self assessments, I claimed relief on the business mileage.

It seems that every employer does this differently.

[Starfighter]

When I had a fuel card I would log miles for personal use and paid the cost of fuel at the HMRC rate back to my employer. No tax liability.

[phil-sti]

No you wouldn’t pay fuel tax on it but bear in mine that if your car is less than 1.6 Ltrs you only pay 10p per mile so that’s 600 miles per month. Just record you mileage and get the actual deducted from your wage.

[jonwm]

We pay the same tax equivalent and log all miles.
End of year if you've not used the amount taken you get it back
I used to get about £1k back every year but now they just take a reduced amount which is better for me too.

You can opt to not log mileage and just pay the tax on your p11d not sure why anyone would want to do that.

[shep1001]

I use a fuel card for all my fuel purchases but reimburse the company for private mileage at the approved HMRC rate for the size of engine in my car.

No additional tax to pay, all I have to do is log the total mileage driven in the month & subtract off the miles driven for business. The remainder is what I owe the company which is subtracted off any expenses the company owe me. For those who have no additional expenses they are required to pay the company back each month direct to the bank account.

[Sheepshanks]

It's possible the company has an agreement with HMRC that taking £60/mth wipes out the need to detail private mileage - going back 10yrs we had the same thing with company cars, although even then it was £75/mth, but it meant we didn't pay the fuel benefit. Some people did epic private mileages, filled their partners cars up etc etc.