Company car and fuel tax

piotr83uk

Hi all

Starting my new job and will get a company car (Band C) Ford focus or somthing like this. Car will come with fuel card with Business and Private use. But I know for fact I will use this car for Business use only!! I know how to calculate how much tax I will pay for the car but how is this calculated in case of fuel card? Do i still pay tax for the fuel card? and if yes why?

Regards
Peter

ncthomas1

So, you won't be driving the company vehicle from your home, to the office you will be based at then?

And not driving it home again?

piotr83uk

I am from Coventry and the company is in Derby. My company will give me Laptop so I can do all my admin work from home. So There is no need for me to travel to the office every day. Even so if I work from home then in case when I travel to the head officie will be business milage?! Rest of the miles I will be doing traveling to my clients etc

So can somone tell me how in this case the tax is calculated?

dori2o

piotr83uk wrote: »

I am from Coventry and the company is in Derby. My company will give me Laptop so I can do all my admin work from home. So There is no need for me to travel to the office every day. Even so if I work from home then in case when I travel to the head officie will be business milage?! Rest of the miles I will be doing traveling to my clients etc

So can somone tell me how in this case the tax is calculated?

If you are travelling to a normal place of work, especially where that place is your employers main office, whether or not you are a 'home based worker' then this is classed as commuting and not business mileage and therefore is private use. travelling to clients will be business use.

If you are so against the fuel card, ask your employer not to give you one, pay for the fuel yourself, and claim back the business mileage at the appropriate rates.

OR take advantage of the fuel card and use the car for private use and get your moneys worth.

sujman

I'm no expert so try this website :

http://www.comcar.co.uk/newcar/companycar/taxcalc/g1select.cfm

tax paybale on the fuel aspect is something like:

£18,800 times the Car% times your tax bracket (20% or 40%)

So roughly in the region of £18,800 x 20% x 40% = ££1,500

or

£18,800 x 20% x 20% = £752

All depends on what exactly your car is, what the Co2 emissions are and what your tax bracket is.

dazza.mk

dori2o wrote: »

If you are travelling to a normal place of work, especially where that place is your employers main office, whether or not you are a 'home based worker' then this is classed as commuting and not business mileage

Only if it meets HMRC's definition of a permanent workplace, if your only permanent workplace is considered to be your home office and travel to the Head Office would not be commuting.

Really depends on your circumstances if you are at the head office frequently and following a regular pattern it may well be a permanent workplace and therefore a commute.

piotr83uk

dazza.mk wrote: »

Only if it meets HMRC's definition of a permanent workplace, if your only permanent workplace is considered to be your home office and travel to the Head Office would not be commuting.

Really depends on your circumstances if you are at the head office frequently and following a regular pattern it may well be a permanent workplace and therefore a commute.

Hi thanks for that this makes more sense I will be going to the office only if I need to go normaly I will be starting my working day from home and travelling to the cilents. Not going to the office!! All my admin work will be done at home!! So I think makes sense if the jurney to my office would be more like business use!!

But then is a question I will be reporting my milage to my company and if there will be no private miles will I still pay TAX for having fuel card??

another question is if I work from home can I claim for tax returne on bills ? is there anything I can claim for?

BoGoF

The legislation on company cars says a car/fuel benefit will be chargeable if your employer makes a car available for your private use. So it does not matter whether or not there is any actual private use the fact it is available means it is a taxable benefit.

piotr83uk

BoGoF wrote: »

The legislation on company cars says a car/fuel benefit will be chargeable if your employer makes a car available for your private use. So it does not matter whether or not there is any actual private use the fact it is available means it is a taxable benefit.

Thats why I will pay Company car tax !! But If I will use it only for work why I should pay tax on miles I do for business??

If anyone have some usefull informations please tell me!!

Ark_Welder

HMRC Web-site:

Form 480: Expenses and Benefits [hmrc.gov.uk/guidance/480.htm]
Form 490: Employee Travel Allowance Guidance [hmrc.gov.uk/helpsheets/490.htm]

(Remember the www. for the links)

In answer to you question about whether travel from home toy your head office is business mileage, probably not. See section '3.28 Employees who work at home' in 490

basill

If you have a fuel card and use it for any private mileage at all tax on the fuel card is due.
I think that if you log all business and private miles and repay your employer for any private miles you can avoid paying extra tax just for having a fuel card.

B