Reimburse employer for private mileage fuel
mikeyboy
Posts: 287
Forumite
in Cutting tax
Hi,
I have a company car along with a fuel card which all fuel is paid for with.
I have opted out of having personal fuel paid for so I complete a log book each day, separating business and personal miles.
I need to reimburse my employer for the personal miles for the 2010/11 tax year.
What rate do I use for the calculation? The AFR?
Thanks
I have a company car along with a fuel card which all fuel is paid for with.
I have opted out of having personal fuel paid for so I complete a log book each day, separating business and personal miles.
I need to reimburse my employer for the personal miles for the 2010/11 tax year.
What rate do I use for the calculation? The AFR?
Thanks
0
Comments
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Would I be right in thinking I take it from here...
http://www.hmrc.gov.uk/cars/advisory_fuel_current.htm
In my case a 1.9 diesel is 13p per mile I repay?
Thanks0 -
if you are supplied with a fuel card you must reimburse the employer every penny spent to be free of the benefit charge not just the private mileage.[SIZE=-1]To equate judgement and wisdom with occupation is at best . . . insulting.
[/SIZE]0 -
hope this helps?
Extract from HMRC website in respect to HMRC advisory fuel rates (sorry as a 'new user' I can not upload weblinks)
Employers who require employees to repay the cost of fuel used for private travel
Providing that all of the miles of private travel have been properly identified, HMRC will accept that there is no fuel benefit charge, and therefore no Class 1A NICs liability, where the employer uses the appropriate rate from the current table (or any higher rate) to work out the cost of fuel used for private travel that the employee must repay to the employer.0 -
Thanks,
So if I use the rate from HMRC, I.e. 13p per mile in my case I will be ok?
Eg, if I did 100 miles I would pay 100 x 13p £13.00???
I am confused as to if it is just this, or should I be paying the amount actually spent on the fuel card? But this obviously varies as prices change etc, so almost impossible to calculate at-the end of the year.0 -
if you are supplied with a fuel card you must reimburse the employer every penny spent to be free of the benefit charge not just the private mileage.
Can anybody confirm if this is correct as it appears to go against what I thought was the situation.
I was under the impression that provided an accurate mileage log is kept and it clearly separates business and personal miles it is simply a case of reimbursing employer at end of the year.
Only if the card issued is used and personal miles not refunded would it become a tax issue?
Please can someone provide some clarity?
Thanks0 -
Yes, you are correct and dori2o is incorrect.If you feel my comments are helpful then I'd love it if you 'Thanked' me!0
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Mikeyboy,
The use of HMRC advisory fuel rates is the first port of call. However, if you can prove a different rate (pro-rata fuel card costs between private and business mileage) you could use this rate per mile.
I would suggest that you use whatever is better for you, keep the appropriate records and be consistent.0 -
Can anybody confirm if this is correct as it appears to go against what I thought was the situation.
I was under the impression that provided an accurate mileage log is kept and it clearly separates business and personal miles it is simply a case of reimbursing employer at end of the year.
Only if the card issued is used and personal miles not refunded would it become a tax issue?
Please can someone provide some clarity?
Thanks
This is what we did for a fuel card holders for those who wish to avoid the fuel BiK charge, using the rates referred to above.
We had a recent visit form HMRC who looked at this and they seemed happy with it.Today is the first day of the rest of your life0
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