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How do I claim back money from the Inland Revenue for using my own car for work?
haslemspenk
Posts: 14 Forumite
in Cutting tax
Hello!
I'm very new so apologies if I've put this in the wrong bit!
Am I right in thinking that if I use my own car for work and my employer pays me back business miles at 30p a mile then I'm entitled to claim back 10p a mile from the Inland Revenue... I've got a figure in my head of the recommending 40p a mile from somewhere.
I've had a look on their website, very unfriendly...
Can anyone tell me if this is correct and if it is how I go about claiming it back as I'm sure next month would be the time to do it at the end of the tax year.
Thanks
I'm very new so apologies if I've put this in the wrong bit!
Am I right in thinking that if I use my own car for work and my employer pays me back business miles at 30p a mile then I'm entitled to claim back 10p a mile from the Inland Revenue... I've got a figure in my head of the recommending 40p a mile from somewhere.
I've had a look on their website, very unfriendly...
Can anyone tell me if this is correct and if it is how I go about claiming it back as I'm sure next month would be the time to do it at the end of the tax year.
Thanks
0
Comments
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You are almost correct. You can claim releif on the difference between what your employer pays you per mile for using your own car, and the approved rates, which are 40p for the first 10000 miles, then 25p for miles over that.
Ring your HMRC office and say you want to claim, and they wills end you a form P87 to complete. You may also have to provide mileage logs if they ask for them, and may have to provide your P60.
Remember that you can't claim for travel from home to work , and back home again.0 -
Hi - you've got a good idea of the scheme - you're actually wishing to claim 'Mileage Allowance Relief' - you can claim the difeerence between the 30p a mile you receive and the inland revenues approved mileage rate of 40p a mile as a taxable deduction.
The 40p rate is for the first 10,000 miles, over 10,000 miles it drops to 25p a mile, in which case if you recieve 30p a mile the 5p difference is taxable.
To make a claim you need to keep a record of your business miles and the mileage allowance payments received from the employer. A letter to the tax office stating you wish to claim MAR will suffice but if you contact them they can send you out a form.
This scheme goes back to April 2002 so if your records go back that far it's worthwhile claiming for previous years.0 -
ta!
Has sadly only been for the last few months as have had a company car before then...... still who's to sniff at money thats up for grabs and is mine mine mine
ok... so it'll go towards paying something sad and dull, but better than out of my bank account!0 -
Just a quick question!
My other half is a care worker travelling from house to house. She was under the impression she would be able to claim mileage back as her employer dosent pay anything towards this.
She filled all the forms out, however when she spoke to the tax people, they said because she hasnt yet paid any tax (part time) she is able to claim the mileage back.
Is this correct? Shes only able to work part time due to the little one - Im the main bread winner.0 -
Is this correct?
Unfortunately yes. You're not claiming the mileage allowance from HMRC, you're claiming tax relief on the mileage allowance, and as no tax has been paid, no relief can be given.Quidco savings: £499.49 tracked, £494.35 paid.0 -
I also use my car for work and i don't recieve anything towards my petrol costs off my employer . As i am a tax payer ,can i claim tax relief on my petrol costs ?
any help would be appreciated0 -
yes you can claim tax relief on your company mileage but not your journey to work and back.EU tariff on agricultual product 12.2%
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EU Clinical Trials Directive stops medical advances0 -
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BLUESUNSHINE wrote: »Thanks , how do i go about ? Do you know how much i'd be likely to recieve ?
I do approx 20 miles a week
Read post #2 on this page.0 -
BLUESUNSHINE wrote: »Thanks , how do i go about ? Do you know how much i'd be likely to recieve ?
I do approx 20 miles a week
As stated before:
1. You do not receive anything!!!! Through your self-assesment you might be able to claim tax relief and thus pay less, and only if you have more than you are claiming in return you could expect a refund.
2. You can claim relief of 40pence on the first 10k miles and 25pence there after.
3. As stated this is not for home-work journey and unfortunately that also counts for business mileage that is between your work and your home!!!!
4. You need to keep detailed records of both business mileage and personal mileage so that you can proof it...0
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