Claiming mileage on two SE jobs

latinaid

First time I've posted a thread, hope it's OK!

My partner is a self-employed driving instructor. He does around 20,000 miles a year, so can claim 40p per mile for the first 10,000 and 25p for the rest.

He also has another small SE job as a mobile DJ, and has some mileage to claim for that job (only a few hundred a year). Does he claim those at 40p per mile, as he does less than 10,000 for that job? And does it make any difference what car you use? Sometimes he uses his, and sometimes mine (which is larger) if he has lots to transport.

ceeforcat

No - he is self-employed regardless of whether he has one or twenty different 'jobs'. Just one set of 40p for first 10000 miles I am afraid.

latinaid

I raised this with HMRC as I had to phone them about something else, and they told me that if you have two (or more) separate unrelated trades, then you have 10,000 mileage allowance at 40p for EACH trade. So they confirmed that my partner CAN claim 40p per mile for the second job. It doesn't matter whether he uses the same car or a different one, he can still claim 40p per mile. :j

Hope that helps others in the same position.

Goldie-K15

Just to confirm - you can only claim 40p per mile for the first 10,000 miles and 25p per mile thereafter for each and every source of income.

However I would check the rules regarding driving instructors, as believe they are unable to use the FPCS rates, along with taxi drivers.

ceeforcat

I had a case last year with a very officious inspector regarding this - he was quite adamant, and I agreed with him, that you cannot claim two sets of 40p unless there are two separate cars involved. The 40p initial rate is supposed to cover the wear and tear of the car which is present whether you do 1000 or 50000 miles. Accordingly, it is reduced to 25p after the first 10000 miles.

If someone can state categorically that this is incorrect, I will be going back to him. I just cannot see how logic can state this to be the case.

jimmo

For what it is worth, employees with 2 jobs can claim 10,000 miles @40p in respect of each job.
http://www.hmrc.gov.uk/manuals/eimanual/eim31280.htm
The Business Income Manual is not so clear but I would have thought that you could mount an argument that mileage rates for the self-employed are based on AMAPs
http://www.hmrc.gov.uk/manuals/bimmanual/bim47702.htm