Business accounts mileage

Brassedoff

Lomast wrote: »

The simplest way assuming you have a Business bank account set up is you pay the £40 for fuel out of your own pocket and then the company pays you the £120.

How we do it is we keep a record of all milage done and then at the end of the month add it all up and then record the total milage for that month and transfer the appropriate amount from the business to our personal accounts.

We used to pay the fuel on our company CC and then correct the amounts with a seperate payment but when we got an inspection from HMRC they were not happy with this.

Hope that helps

This is the correct way to do it know. It avoids the P11D issues too. A big fat zero can go in the space that used to give. Sleepless nights

nomunnofun

Brassedoff wrote: »

This is the correct way to do it know. It avoids the P11D issues too. A big fat zero can go in the space that used to give. Sleepless nights

Obviously P11D issues come into play where the op is operating a limited company. It does not appear evident to me on this thread that he/she is so doing. Perhaps some clarification before confusion really sets in?