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  • FIRST POST
    • rebecca91
    • By rebecca91 13th Jun 17, 10:31 PM
    • 33Posts
    • 28Thanks
    rebecca91
    Am I taking the mick here?!
    • #1
    • 13th Jun 17, 10:31 PM
    Am I taking the mick here?! 13th Jun 17 at 10:31 PM
    Hi all. I'm sorry if this has come up in the past but I can't find anything


    After a little advice really.


    I strarted tutoring a student last year. Long story short I charge £30 an hour and only do a single lesson week.

    The student is 30 miles away from me. (60 mile round trip)
    The tax man says I can claim 45p mile.
    That's 27 quid I can claim from the £30 an hour I charge (I only do 1 hour tutoring at a time)

    Now my car is 60mpg. It no way costs me that much.



    So am I right in thinking the tax man will only see I'm earning £3 for that hour work?!
    That surly can't be right!

    Regards all
Page 1
    • kidmugsy
    • By kidmugsy 13th Jun 17, 10:38 PM
    • 9,365 Posts
    • 6,142 Thanks
    kidmugsy
    • #2
    • 13th Jun 17, 10:38 PM
    • #2
    • 13th Jun 17, 10:38 PM
    If you think that the running costs of a car consist of only the cost of the fuel you need some tutoring yourself.
    • Dazed and confused
    • By Dazed and confused 13th Jun 17, 10:38 PM
    • 1,466 Posts
    • 610 Thanks
    Dazed and confused
    • #3
    • 13th Jun 17, 10:38 PM
    • #3
    • 13th Jun 17, 10:38 PM
    What other income do you have?
    • rebecca91
    • By rebecca91 13th Jun 17, 10:54 PM
    • 33 Posts
    • 28 Thanks
    rebecca91
    • #4
    • 13th Jun 17, 10:54 PM
    • #4
    • 13th Jun 17, 10:54 PM
    Full time employment ontop well above the free tax thresh
    • TheCyclingProgrammer
    • By TheCyclingProgrammer 13th Jun 17, 11:25 PM
    • 2,567 Posts
    • 1,413 Thanks
    TheCyclingProgrammer
    • #5
    • 13th Jun 17, 11:25 PM
    • #5
    • 13th Jun 17, 11:25 PM
    The tax claim is fine, I would more be questioning whether a 60 mile round trip for 1 hour at £30 is a profitable use of my time though.
    • Pennywise
    • By Pennywise 14th Jun 17, 10:18 AM
    • 8,947 Posts
    • 16,122 Thanks
    Pennywise
    • #6
    • 14th Jun 17, 10:18 AM
    • #6
    • 14th Jun 17, 10:18 AM
    The tax claim is fine, I would more be questioning whether a 60 mile round trip for 1 hour at £30 is a profitable use of my time though.
    Originally posted by TheCyclingProgrammer

    If I were a tax inspector, I'd be querying whether the journey was "wholly and exclusively" for business purposes as it doesn't make commercial sense from a cost/time point of view, so my suspicion would be that the journey (or similar) was being done anyway, i.e. to visit friends/relatives or go shopping, in which case, it wouldn't be allowed as a legitimate business expense.
    • rebecca91
    • By rebecca91 14th Jun 17, 11:18 AM
    • 33 Posts
    • 28 Thanks
    rebecca91
    • #7
    • 14th Jun 17, 11:18 AM
    • #7
    • 14th Jun 17, 11:18 AM
    It's near my place of work, and some days I did the tutoring after work. However I nearly always cycle to work, and would have cycled on those days if it didn't mean I had to tutor...
    Is that a valid reason? Or shall I claim the millage from work on those days?
    • Pennywise
    • By Pennywise 14th Jun 17, 11:20 AM
    • 8,947 Posts
    • 16,122 Thanks
    Pennywise
    • #8
    • 14th Jun 17, 11:20 AM
    • #8
    • 14th Jun 17, 11:20 AM
    It's near my place of work, and some days I did the tutoring after work. However I nearly always cycle to work, and would have cycled on those days if it didn't mean I had to tutor...
    Is that a valid reason? Or shall I claim the millage from work on those days?
    Originally posted by rebecca91
    So your only legitimate business miles claim is between work and their home then.
    • rebecca91
    • By rebecca91 14th Jun 17, 11:25 AM
    • 33 Posts
    • 28 Thanks
    rebecca91
    • #9
    • 14th Jun 17, 11:25 AM
    • #9
    • 14th Jun 17, 11:25 AM
    Thanks for the reply
    • sheramber
    • By sheramber 14th Jun 17, 12:34 PM
    • 3,361 Posts
    • 2,552 Thanks
    sheramber
    You don't get £27.00. You claim tax relief of 27@ your taxable rate e'g 27 x 20%
    • Altarf
    • By Altarf 18th Jun 17, 10:03 AM
    • 2,799 Posts
    • 1,660 Thanks
    Altarf
    I strarted tutoring a student last year. Long story short I charge £30 an hour and only do a single lesson week.
    Originally posted by rebecca91
    Wouldn't this fall under the new £1000 trading allowance so tax wouldn't be due on the tutor income anyway.

    https://www.gov.uk/government/publications/income-tax-new-tax-allowance-for-property-and-trading-income/income-tax-new-tax-allowance-for-property-and-trading-income
    • MichelleUK
    • By MichelleUK 18th Jun 17, 10:23 AM
    • 276 Posts
    • 171 Thanks
    MichelleUK
    Originally posted by Altarf
    That has been dropped for the time being:

    http://www.moneysavingexpert.com/news/protect/2017/04/government-drops-1000-tax-breaks-for-online-sellers-and-room-renters-for-now
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