HMRC Claims

adfcon

Hi There,

Sorry if this has been asked on this site already but i've spent so much time looking for answers i cant look anymore!

I sent a claim to the HMRC for business mileage as i use my own car for work. My employer pays me 40p per mile already, so I am only claiming the 5p difference. This claim is for 2015 - 2016 and i did 4096 miles. so 4096 x 5p = £584.60. Now as I understand, i am in the 20% tax bracket, so the actual amount i should receive from the HMRC should be £116.92. is that correct?

Then at the same time I also claimed for working from home. I dont have an office so working from home is my only choice. It says you can claim £4 per week without having to provide evidence of this. I probably spend more than this but every little helps! so minus the 4 weeks holiday i take a year, this leaves 48 weeks x £4 = £192. Now I assumed that this would be the full amount that I received? but say again its just the 20% then that should be £38.40.

So I would expect as a minimum to receive £155.32. But i have just received a cheque for £25.40! I'm so confussed as to how they got to this amount! Please help!

Thanks in advance

Darksparkle

Your mileage calcs are wrong.

4096 X 5p is £204.80 not £584.60. Not sure how you arrived at that figure?

20% is then £40.96.

adfcon

Oh no! I set up an automatic calculation on excel to add it up as I go along throughout the year and just checked it and some cells had the previous years calculation of 15p difference! Silly me!

Ok so with the new calculation of £204.80, 20% would be £40.96.
With the working at home amount being £192 (or 205 being £38.40)

Combined i should still have received a minimum of £79.36?

However It doesnt look like the spotted my mistake when they sent the calculations through they based it on my full £777.

Darksparkle

It's not really possible for us to say what figures they have used. I would have thought they'd have sent you paperwork.

Perhaps you underpaid tax and that's why the amount is less.

teddysmum

Could you be ineligible for the working at home relief for the following reason? (Quote from HMRC's site):


If you work at home voluntarily and your employer doesn’t contribute to your expenses, you can’t claim tax relief for what you’ve spent.

nannytone_2

have you checked that your tax code hasn't been changed to reflect your expenses?