Anyway to Claim petrol money from TAX People

Tariq2009

Hi I need some help I live in Huntingdon and unfortunately can not find work with decent pay so I found work in Cambridgeshire which is good money but I have to travel every day 32 miles to work and company don’t pay that but they pay me if they send me anywhere away from Cambridge but they only pay us 0.36 Pence per mile which is not enough I was wondering is there any way that I can claim some TAX or some money back from TAX people? Thanks

Lorian

Tariq2009 wrote: »

Hi I need some help I live in Huntingdon and unfortunately can not find work with decent pay so I found work in Cambridgeshire which is good money but I have to travel every day 32 miles to work and company don’t pay that but they pay me if they send me anywhere away from Cambridge but they only pay us 0.36 Pence per mile which is not enough I was wondering is there any way that I can claim some TAX or some money back from TAX people? Thanks

Not on mileage to and from your regular place of work, but I believe you can claim the tax up to the 40p on the mileage claims you do. There is a form to fill in. I think its this one, but do check:

http://www.hmrc.gov.uk/forms/p87.pdf

Its the "mileage allowancw relief" bit that I think is relevant to you.

Tariq2009

Thanks for reply is there any limit on claim or i can claim as many time company send me away from work office ?

MarkyMarkD

I think your employer pays you 36p per mile, not 0.36p per mile.

So there's next to nothing to be claimed, given the IR standard allowance of 40p.

There is no limit on how many miles you can claim, but the mileage rate you can claim against reduces over a certain mileage, as the form that Lorian provided a link to showed:

40p per mile up to 10,000 miles
25p per mile thereafter.

So, if your employer pays a flat 36p per mile, at a certain point you will start to owe tax rather than having a claim!

Tariq2009

MarkyMarkD wrote: »

So, if your employer pays a flat 36p per mile, at a certain point you will start to owe tax rather than having a claim!

So, if your employer pays a flat 36p per mile, at a certain point you will start to owe tax rather than having a claim! Can you please explain it more to me

Thanks

MarkyMarkD

If you do 10,000 miles, your employer pays you £3,600. The tax relievable amount is 10,000 x 40p = £4,000 LESS the £3,600 you receive = £400. So if you pay 22% tax, you'll get £88 back.

If you do 20,000 miles, your employer pays you £7,200. The tax relievable amount is (10,000 x 40p) + (10,000 x 25p) = £6,500 LESS the £7,200 you receive = MINUS £700. So if you pay 22% tax, you OWE HMRC £154.

Dijor

Hi,

I have a question regarding a company car, which is petrol, 1.8, whereby I pay for all petrol myself then claim back company mileage, which is paid at the rate of 8.5p per mile.

I estimate (having calculated averages per mile etc) that I am losing 4.5p for every mile I drive, and on average I drive approx. 200 miles per week. This all adds up. Is there anything I can do?

Thanks in anticipation for any advice!

exil

Let me get this right - is the car yours or the company's? If it belongs to the company I can't see how you are losing money.

MarkyMarkD

Dijor is saying that the petrol costs are 13p per mile, and he's paying them and getting a ridiculously low car allowance of 8.5p per mile.

In these circumstances, you should be asking your employer to increase your mileage rate!

jennifernil

A lot of employers are actually cutting down on what they pay for fuel in company cars, my husband remarked on this just the other day. His company are now also only paying 8.5p, luckily he does not have a company car.
Could this be something to do with what HMRC allows them to pay tax free in these circumstances?

kennyboy66_2

8.5p a mile would be ok for a diesel car but a bit low for a petrol car. I suppose it depends on if you knew what the rate was when you chose to have a company car rather than cash allowance if available, and whether you could have chosen a diesel car rather than a petrol one.