Mileage claim for work + self-employed?

rambo43

Hi,

I use my car at work to travel to different areas and get paid 40p a mile for doing so.

I want to start my own self-employed business and would be using my car for journeys ot customers and claiming that 40p aswell.

Correct me if im wrong but its 40p for the first 10k miles? Is that 10k miles combined in both jobs or each.

Many Thanks

middlepuss

Good question. If you are employed by a limited company and claim mileage through that company (co-incidentally at 40p) and separately run your own unconnected business I would have thought that you would get a separate 10K mileage as a self employed person.

Airwolf1

Or if you are using your car (with your own business) you could also look at claiming the % way instead, eg, Total annual miles 20,000, total miles for personal business 15,000, means you can claim 75% of everything you spend on your car as an expense. I tried this, but because I don't change my car regularly, it is still cheaper @£0.40 per mile. You can only claim one way or the other, you can't swap or change I believe.

missk_ensington

The point of a mileage allowance is so that businesses aren't being taxed unfairly on the income that isnt profit - therefore, you would receive the full 10,000 miles for your ownh business. The mileage you use at your employed job will be deducted from your employers mjileage allowance - not yours, since it is their turnover, their profits and their tax return. It has no effect on you.

In any event the tax man would never link up mileage claimed by an employer and mileage on your tax return, since your employed mileage will be claimed on your employers tax return, probably without even having your name on it, not that it really matters if they did.

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