Business mileage on self assessment

MichelleUK

Workerbee999 wrote: »

I would like to ask a similar question to this, but my situation is slightly different.

I have a company funded fuel card that I use for all my mileage, private and business.

This is fully taxed as a PIId benefit, as I don't have a company car - instead have a cash allowance and have bought my own car - so the fuel card is not a traditional "company car fuel" tax benefit.

Can I reclaim the tax I have paid on the business mileage portion of the fuel spend? And if so, is this through the P87 using the full mileage rate? (Its less than £1000 pa and I have the details of travel)

The company does not pay me a separate mileage rate as they pay the whole fuel cost - but also they are not refunding me for the tax I am paying on this business expense which I shouldn't be.

Apologies, I misread the question and gave an answer for company cars rather than private. I have removed the post to remove any confusion for future readers!

Workerbee999

The value that goes on my P11d by the company is the exact amount of fuel purchased on the fuel card during the year - so I am only paying tax on what I use. The P11d calculation is not a function of any sort of mileage assumption. This is therefore a very good benefit for me as my fuel only costs me 40% of the full price.

I assume it is because this benefit does not fall under the definition of "fuel for a company car " - as I don't have a company car.

So for example, if I spent £4,000 on the card i will pay £1,600 tax on it at 40%. That may relate to 20,000 miles but is not calculated on the mileage. But some of that £4,000 has been generated by me doing a small proportion of business miles - this is the element that I want to claim back.

Pennywise

On your tax return, you show the benefit in kind value as a taxable benefit, so that gets added to your income, but further down the form, you claim your business mileage at 45ppm, which gets deducted from your income. So get those figures entered, and effectively you get your tax relief on the business journeys.

Workerbee999

Thanks Pennywise

I don't do a self-assessment, so I assume I can just do a form P87 for the mileage reclaim?