Mileage Claim Clarification

TomHainesMusic

Hi All,

I am in need of some clarification when claiming mileage.

I am a freelance musician/composer/teacher and I travel to a number of different locations for gigs, meetings, workshops, lessons.

I am under the impression that the mileage incurred from the irregular / short-contract / one-off kinds of locations and projects are all allowable but I am unsure about some of the more regular work:

1) I do a gig at least once a month at the same venue (roundtrip approx. 38 miles each time). Am I right to think that this mileage is still allowable?

2) I teach for 2 evenings a week at (roughly) the same time and always the same location (roundtrip approx 36 miles each time). In the past I have claimed for these, but have recently started to doubt that this mileage is not allowable. The resulting income accounts for approximately 35% of my overall income.

Can someone please clarify what I can and cannot claim for in these circumstance,

Thanks is advance,

Tom

Robin9

What do your various contracts of employment say? Unless its written into them there is nothing to be claimed.

Most of us travel to and from work at our own cost. We have to ensure that what we get paid merits the travel cost.

TomHainesMusic

Thanks Robin9.

Are you suggesting that I should not be claiming any mileage at all, or just in these two more regular circumstances? I would say that these two instances combined currently account for around 30% of my mileage and around 40% of my income, so they are not my only means of income or incurred mileage.

As all strands of my work is freelance (i.e. none of it on PAYE), I have so far been keeping record of all of the mileage for every time I drive for work, with a view to claiming the 45p per mile when it comes to self-assessment time.

It has only been more recently (since December/January) that I've been required to travel to travel to the particular destinations on a more regular basis - the once-a-month gig (which has no contract and is paid in cash), and the twice-a-week teaching (which has a contract, but no mentioning of travel.)

What do we think? Still no grounds for mileage claim?

Cheers,

Tom

[Deleted User]

Probably best to ask who pays you as a freelancer if they are happy to pay you mileage rather than a group of random strangers .....

TomHainesMusic

You've kinda lost me now - - - my freelance work rarely makes any mentioning travel expenses, only really cost of my time.

Forgive my ignorance, but I've only been full-time freelance since last November, and part self-employed since 2013. If there is an ethical issue on expenses / mileage claims then I'd be interested to hear the points, then I'll make my judgements. But first, I'd really appreciate a straight answer of what is / is not 'allowable'.

Thanks in advance

martindow

Sleazy wrote: »

Probably best to ask who pays you as a freelancer if they are happy to pay you mileage rather than a group of random strangers .....

This not what the OP is asking though. He, like many of us, wants to put 45p/ mile in his accounts as an expense.

Sorry I can't help OP with the original question. If HMRC considers the weekly trips as travel to a regular place of work you won't be able to claim for it. You may need to bite the bullet and ask HMRC.

lisa110rry

I would ask your accountant, but I would think it would all be allowable (for two years). If your business is registered at your home, this would be your regular place of business. We have three business addresses and consider the nearest one to the employee's or supplier's home address to be the regular place of business and the other locations to be visits.

pk04

I would speak to a tax accountant (many of them will do a free 1/2 hour session) as I don't know the in's and out's of the regular place of work rule. They will need to know about how long you've worked there and expect to work there

2bFrank

Im not sure of the situation with sole traders, but if you work from a limited company you can claim 45p/ mile for any travel related to the business. So if you travel to a gig that you are working on, that will count as a business trip and you can claim 45p per mile.

The two year rule is if the period of work runs over two years at the same premises then you cannot claim mileage. Im a contractor and if I work at the same premises for over two years or the contract will end up being over two years then I cannot claim it as business mileage.

For your line of work, I very much doubt this applies as you are going to many different places. The one a month one will definitely be an allowable expense. the two a week gig will be different, the rule of thumb is if the work accounts for 50% or more of your total work, then the two year rule applies. however this percentage changes and its subject to interpretation, your accountant or the HMRC will be able to confirm. .