Business Mileage - Whole Distance?

scotland89

Good afternoon,

I have recently started a secondment with my company and now have an extra 30 odd miles to travel each day. My employer is paying me 45p per mile over and above my normal commute. From what I understand for HMRC I can claim the full distances but would obviously only get relief for the bit my employer isn't willing to pay?

i.e.

• I do 1500 miles (1000 extra, 500 normal)
• My 'allowance' is £675
• My employer pays me £450
• I can claim relief of £225

Next question is a stupid one I think, but how much of a rebate is that?
I am a basic rate taxpayer so I would assume I only get 20% back? (£45)

What about NI? Can that be claimed back?

If you have any reference to the HMRC docs that would be useful.

Thanks

booksurr

how long is the secondment expected to last?
has your normal place of employment as per your employment contract been altered?

why do you think you can recover NI? You haven't, and won't, pay any.

scotland89

Thanks for the reply.

The secondment is for 6 months so will be covered as a temporary location.

Reason for asking about NI is as I see I have paid out of my taxed and ni'd income for a percentage of a business journey. Say my employer paid me for full distance. The taxman would not have got any tax or ni at all as it all would have been expensed.

Hope that makes sense.

Apodemus

I would think that the basic 500 "normal" miles remain your home to work commute and can't be claimed as business mileage.

jimmo

scotland89 wrote: »

Good afternoon,

I have recently started a secondment with my company and now have an extra 30 odd miles to travel each day. My employer is paying me 45p per mile over and above my normal commute. From what I understand for HMRC I can claim the full distances but would obviously only get relief for the bit my employer isn't willing to pay?

i.e.

• I do 1500 miles (1000 extra, 500 normal)
• My 'allowance' is £675
• My employer pays me £450
• I can claim relief of £225

Next question is a stupid one I think, but how much of a rebate is that?
I am a basic rate taxpayer so I would assume I only get 20% back? (£45)

What about NI? Can that be claimed back?

If you have any reference to the HMRC docs that would be useful.

Thanks

On Income Tax, absolutely correct. See example 4 in this link.
http://www.hmrc.gov.uk/manuals/eimanual/eim32011.htm
If you want to look into it in more depth go back a page in that link (bottom right hand corner) and follow any relevant further links.
As I understand it employers are allowed to pay expenses free of NI but individuals can’t claim any deductions themselves.