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Claiming Travel Expenses - Mileage Allowance

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Hi,

My husband went on a training course on Wednesday and had a 340 mile round trip. He was given £113 upfront worked out at 33p per mile x 340 miles.

I asked him to query the 33p per mile as it seemed low compared to my work mileage allowance, we are waiting to hear back on the amount.

Tonight he has gone into work and given in 2 petrol receipts which total around £75, his boss is now saying we need to pay back £38 as he didn't use all the money given to him for petrol.

Surely the rest of the money (and extra if pence per mile should be more than 33p) is my husbands to keep towards additional motoring costs like business insurance cover etc? Otherwise why say 33p per mile?

Would appreciate anyone's view/experience on this.

Thanks
Sarah

Comments

  • coinxoperated
    coinxoperated Posts: 1,026 Forumite
    1. How long has he worked there? If less than 12 months he's best to leave it be.

    2. He needs to go back to his employment contract and see what it days. Most companies leave it down to the employee to make sure they are insured / taxed correctly on their own vehicles and unless they have previously stated or its stated in his employment contract thy he gets a 'vehicle maintenance' payment or something similar, then he doesn't. In my last workplace, I received 35p per mile for the first 10,000 then 15p a mile for anything over that. No vehicle maintenance payments. For me, the 35p a mile was Almaty triple what my very small engines car cost me, so I just saved what I could and it worked out eventually.

    3. If they are paying him mileage on a regular basis, he needs to ask for it to be paid along with his wages. HMRC allow 45p for the first 10,000 miles and I've been able to claim the 10p difference this year which has knocked the sum it equates too off my tax code next year. So I don't get it back as a cash sum, it's all in the tax code under 'personal expenses'.

    I hope that helps a bit! :)
  • notanewuser
    notanewuser Posts: 8,499 Forumite
    Why did he take petrol receipts in?!

    The max allowance without attracting tax is 45p per mile. If the employer pays 33p he can claim the tax difference back from HMRC (so 2.4/4.8p per mile depending on whether he's a higher rate tax payer or not).
    Trying to be a man is a waste of a woman
  • dizzyblonde82
    dizzyblonde82 Posts: 475 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    He has worked for the same company for 4 years, no employment contract. He was told to take the receipts in as the money they gave him was from the safe, they have said we can hand in any other petrol receipts totaling the difference and that would be fine but I don't understand the way they are doing this.

    He works for a pub chain and is paid by head office, not sure why they don't pay for it through his wages. This is the first time he has had to travel for work and probably wont again for a long time. He is not a high rate tax payer.

    I get paid a rate of 56p per mile through work but just write mileage down on a monthly basis, this is authorised by manager and paid through wages.
  • claire16c
    claire16c Posts: 7,074 Forumite
    Part of the Furniture Combo Breaker
    He shouldn't be paying anything back.

    The money is to cover wear & tear etc not just petrol.

    33p does seen low, 45p is the general rate. So asking for more back sounds ridiculous, I'd probably just ignore it until they chased me again and then explain the wear& tear thing.

    He can claim back tax on the difference between 33 and 45p.
  • ohreally
    ohreally Posts: 7,525 Forumite
    1,000 Posts Combo Breaker
    Perhaps some are confusing HMRC AMAP (http://www.hmrc.gov.uk/manuals/eimanual/eim30058.htm) which is a method of tax relief and employers mileage allowance.

    I'm with the op, mileage should be paid and be tax free. If the employer is dragging heels, have them get your oh to his destination and back in future.
    Don’t be a can’t, be a can.
  • zzzLazyDaisy
    zzzLazyDaisy Posts: 12,497 Forumite
    Part of the Furniture Combo Breaker
    1. How long has he worked there? If less than 12 months he's best to leave it be.

    Just to clarify...

    The law changed last year and the relevant period is now TWO YEARS.
    I'm a retired employment solicitor. Hopefully some of my comments might be useful, but they are only my opinion and not intended as legal advice.
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