Business Mileage Tax Relief

[anonymous-user]

Morning all, have done a bit of reading on this and can’t seem to find an answer. I am about to go and fill out the form for claiming tax relief on business mileage. My employer pays 30p/mile so I would be claiming the additional 15p, should only be a few hundred quid for the last few years of travelling but every little helps.

My query is this: my employer deducts my usual commuting mileage (130) from any mileage claim and then pays the 30p/mile on the rest. E.g. if I did a round trip of 200 miles I’d only be able to claim 70 miles. Is it the same for the tax relief where I’d only be able to claim for 70 miles or would I be able to get 70 @ 15p and 130 @ 45p? Obviously no problem if I can’t but would make a sizeable difference so thought it best to check!

Our claims system shows the following in a table, for example:

Total mileage: 200
Mileage deduction: 130
70 miles @ 30p = £21.00

Any help would be appreciated.

[anonymous-user]

bogie said:

yes....you cant claim for home to normal place of work, so you get relief on the 70 miles

I should clarify, this is for trips where I don't go to my normal place of work, i.e. 100 miles from home to alternative location and then back again, not a commute to work and then 70 miles of business travel.

[anonymous-user]

Jbeale96 said:

I should clarify, this is for trips where I don't go to my normal place of work, i.e. 100 miles from home to alternative location and then back again, not a commute to work and then 70 miles of business travel.

so the employer is saying you would have done 130 miles to get to the usual place of work, so it is only paying you for the miles you did over and above what would have been your normal commute?

you may well be allowed the relief based on the 'journey to a temporary workplace' rules

there are sufficient examples here to demonstrate

https://www.gov.uk/hmrc-internal-manuals/employmen...

Edited by anonymous-user on Monday 20th January 10:19

[anonymous-user]

JPJPJP said:

so the employer is saying you would have done 130 miles to get to the usual place of work, so it is only paying you for the miles you did over and above what would have been your normal commute?

you may well be allowed the relief based on the 'journey to a temporary workplace' rules

there are sufficient examples here to demonstrate

https://www.gov.uk/hmrc-internal-manuals/employmen...

Edited by JPJPJP on Monday 20th January 10:19

That's correct, thank you - looks like a combination of examples 1 and 4 are what I was looking for.

[anonymous-user]

In fact, having started with the form they ask for "total business miles travelled" and "amount (£) reimbursed by employer" so by filling those in accurately then it does indeed look like I can claim for the total number of miles travelled, for journeys which are not ordinary or substantially ordinary commuting (which none that I am claiming are). Happy days!

[anonymous-user]

interstellar said:

Edinburger said:

I thought you only claimed basic rate tax relief on the difference?

So using the OP's example: his employer pays £0.30 so he'd claim 20% of the £0.15 difference, per mile?

You can claim this back via your tax return (although there's no specific section for it) or via P87, from memory.

I'm in a company car scheme now so this no longer applies to me.

Correct you can’t claim the 15p but the tax relief.

Not just basic but the relief is whatever level of tax you pay - basic or 40% etc

Yes, sorry I did mean tax relief not the full 15p, I blame this honking cold...