Claiming difference in Mileage (36p vs 45p)

Peter1988

Hi,


I'm leaving my current job where I was without a car allowance and the company paid 36p per mile for any business miles.

It's my understanding that I can claim back the difference between 36p and 45p. is that correct?

Also is there also claim for tax on top of this?

Can I send a letter to HMRC now requesting this difference? The total mileage is 5125miles.


Thanks
Peter

ohreally

Peter1988 wrote: »

I'm leaving my current job where I was without a car allowance and the company paid 36p per mile for any business miles

Isn't that a "car allowance"?

Peter1988

ohreally wrote: »

Isn't that a "car allowance"?

no, it's a fuel allowance. Completely different.

sammyjammy

You can't claim the difference you can claim the tax you've paid on the difference. If you're a 20% rate tax payer you can claim 20% of 9p for each mile you've claimed. You need a form P87 and you can get this from HMRC website.

Peter1988

sammyjammy wrote: »

You can't claim the difference you can claim the tax you've paid on the difference. If you're a 20% rate tax payer you can claim 20% of 9p for each mile you've claimed. You need a form P87 and you can get this from HMRC website.

So why do HMRC advertise a 45p mileage rate and I'm only paid 36p?

quietriot

Peter1988 wrote: »

So why do HMRC advertise a 45p mileage rate and I'm only paid 36p?

45p is the amount per mile that can be paid tax free. Employers are under no obligation to pay that rate.

Loopy28

I claimed this as my employer pay less than the tax free rate. I filled in the form and receive this, it is only 20% of the difference so not mega bucks but I do have a higher tax code now to account for this on an ongoing basis. Increases my salary by the princely sum of £10 month but better in my pocket!