How much to claim in accounts? Help please!

Maz

Hi everyone, wonder if anyone can help me out with this please?

Am now a self employed person, working from home. Does anyone know what proportion of petrol, leccy etc I can claim as legitimate business costs? I have to use my car for my work.
Starting to panic as have to get tax return in before the end of the month and don't want to get clobbered for incorrect info!

Any advice would be very gratefully received.

mbamick

Mileage rate is 40p per mile for the first 10,000 and 25p per mile thereafter. See http://www.hmrc.gov.uk/rates/travel.htm

I also claim subsistence expenses of £5.00 per day, to cover coffee(s) and lunch if I'm working on the client's site.

I cannot be bothered trying to work out % of gas & electricity bills, wear & tear etc. I simply charge a flat daily rate of £3 per day every time I work from home.

Don't forget to recoup, say, a fiver a month for stationery & postage.

martindow

You need to be able to justify the percentage of the house costs you are claiming by how much of the house is being used for the business. As long as you can justify the figure you used if someone from the tax office came to look and don't try to claim a ridiculously high percentage you should be fine.

mickeyfinn

i think you can claim car costs in two ways. If you claim mileage that is all you get, because within the amount given for mileage, tax, insurance, costs etc are taken into account. If however you claim for petrol, insurances, tax etc can be taken into account, although I can't remember precisely. hope this is of some use, if a little vague!