Car allowance - wear & tear

CLAPTON

comeandgo wrote: »

When we had car allowance the allowance was nearly £400 a month and that was to cover the cost and wear and tear of the car.

that would not have been the HMRC view of the matter : they would have seen the 400 as simply salary and taxed and NI accordingly

comeandgo

Yes, it was taxed and nic'ed and I drove about 30,000 miles a year so bought an economical car and made money from the mileage claims.

Darksparkle

comeandgo wrote: »

Yes, it was taxed and nic'ed and I drove about 30,000 miles a year so bought an economical car and made money from the mileage claims.

So where your mileage claims at HMRC approved rates? If so that covers your wear and tear.

The issue here is that it's likely the OP will get less than HMRC approved rates.

redpete

Willdabeast wrote: »

If that's not an option then at the end of each year I just request what my employer has paid for fuel on my cars card and minus my personal mileage (which i will keep track of). So If I had done 10,000 business miles and they paid on average 0.13ppm for the fuel, I could then claim 10,000 miles @ £0.32ppm = £3,200.00 @ either 20% or 40% rate.

That seems a sensible way of dealing with it.