reclaiming tax back for using your own car?

tankatron

a guy at work has told me, he has just recieved a claim pack from the tax office for running his own car to and from work, he says he can claim upto 40p per mile, he also says there are a few stipulations, it has to be your own car, you cant have a permanent place of work (i.e we both work in construction so we move from site to site), and you can only claim upto £2500 per year, you can claim upto the last 6 years, he told me a few more but cant remember them, can anybody shed any light on this, seems a bit to good to be true as if he claims on average £1500 per year for 6 years that would be £9000 refunded, cant see it myself !? any more help would be great

Tankatron

getmore4less

As long as the rules are followed you can claim tax back for the use of a vehicle.

If you are compensated by your employer this is tax free up to the allowance and you can reclaim more if the payment is less.

not just cars you can also claim if you use a bike.

try this handy page on HMRC site, loads of other reference thrown up by a search.

http://www.hmrc.gov.uk/mileage/employee-factsheet.htm

dzug1

Remember it's only the TAX on the claim you get back - not the claim itself. That generally works out to 8p a mile, not 40p.

So what you were thinking probably is too good to be true.

AdrianHi

It is indeed tax releif on 40p per mile for first 10,000 miles in a year and 20p per mile after that.
You will need to contact your local tax office to get forms for the earlier years, I think it is 6 years you can go back.