Claimaing Mileage Allowance if possible

jimmo

rs65 wrote: »

Can you expand on that please?

All I can find on HMRC website is:-

5p per passenger per business mile for carrying fellow employees in a car or van on journeys which are also work journeys for them. Only payments specifically for carrying passengers count and there is no relief if you receive less than 5p or nothing at all.

http://www.hmrc.gov.uk/rates/travel.htm

Quite right. Her are a couple of worked examples.
http://www.hmrc.gov.uk/manuals/eimanual/EIM31415.htm

BobQ

rs65 wrote: »

Can you expand on that please?

All I can find on HMRC website is:-

5p per passenger per business mile for carrying fellow employees in a car or van on journeys which are also work journeys for them. Only payments specifically for carrying passengers count and there is no relief if you receive less than 5p or nothing at all.

http://www.hmrc.gov.uk/rates/travel.htm

Fair enough, if that is the way it works, I had assumed (clearly wrongly) that if the HMRC approved cost per mile of running a car was allowed then the same would apply to the passenger supplement for the additional costs of running the vehicle. Thanks for correcting this!

oncall

Thanks for the additional replies. This has been most interesting and helpful.

oncall

Just an update on my thread! I spoke to my manager about my mileage and they spoke to someone in admin who deals with all the wages etc etc....and they helped to deal with this matter.

Yesterday I received a letter from HMRC headed "PAYE Coding Notice"

and it read "Your new tax code for the year from 6 April 2013 to 5 April 2014 is 1049L which replaces 944L"

I did not get any refund.....HMRC just adjusted my tax code. I have to file another P87 in April this year.

jennifernil

They seem to have put about 5000 miles of allowance into your code for this year, so sounds like you will still have a refund for 13/14 when you submit your P87.

For 12/13, as others have said, as you did not pay any tax, you cannot unfortunately be given a refund.

oncall

Thanks for the reply jennifernil.........but I did get a refund this year as my last p60 I received showed that I had earned 5805.93 and I had paid 461.60 tax......HMRC refunded me 451.60 by cheque.

zygurat789

oncall wrote: »

Thanks for the reply jennifernil.........but I did get a refund this year as my last p60 I received showed that I had earned 5805.93 and I had paid 461.60 tax......HMRC refunded me 451.60 by cheque.

But the refund, you told us, was due to the use of the wrong code not because of a mileage claim.

oncall

My apologies for the confusion.

I will try and explain....I started work as a Care Worker in Oct 2012.....in April 2013 I received my P60 which showed I had earned £5805.93.....whilst I was working from Oct -April I was being taxed....and in total was taxed £461.60.....my tax code was 810ML1..........prior to starting work I was on benefits.

Hope that is more clear...the mileage subject is different to the tax refund....which hopefully should be more clear now.

00ec25

oncall wrote: »

My apologies for the confusion.

I will try and explain....I started work as a Care Worker in Oct 2012.....in April 2013 I received my P60 which showed I had earned £5805.93.....whilst I was working from Oct -April I was being taxed....and in total was taxed £461.60.....my tax code was 810ML1..........prior to starting work I was on benefits.

Hope that is more clear...the mileage subject is different to the tax refund....which hopefully should be more clear now.

Summary

Tax year 12/13
from April 12 - Aug 12 you were unemployed / looking after parent. You received benefits in this period some of which may be classed as taxable income
From Oct 12 - April 13 you did Care Worker job.

so for tax year 12/13 you earned 5805.93 + ? benefits. Crucially your tax code for the employment in this period ended in M1- this means it was a non cumulative code and so you overpaid tax on your earnings. Also without knowing you full taxable earnings that year you appear to have totalled less than the annual personal allowance of £8,105 and therefore no tax is payable at all for 12/13 so you have been given a refund

on the basis that you paid no tax in 12/13 you cannot claim tax relief on mileage up to April 13 since any relief (ie refund) would come from the tax you paid and that is nil so no mileage relief is possible

tax year 13/14
from April 13 onwards you are in work, paying tax and thus able to claim tax relief on mileage incurred after that period.
The amount of tax relief you claim must be based on you keeping mileage records and must distinguish the journey paid at 40ppm from those paid at 23ppm

oncall

Thanks for the reply if that is so. ....then something is wrong? that would mean my tax code should not have been changed? should I call HMRC to ask them this info?

The letter I received from HMRC advised my new tax code was from April 13 to April 14.....would HMRC not have checked to see this....that they sent me a refund if 461.60....Therefore advise me that I would nott be entitled to claim mileage expense for that period?