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Company Car fuel records
njc235
Posts: 2 Newbie
in Cutting tax
Apologies if this is the wrong forum.
I work for a company who issue fuel cards for company cars. Trips are recorded and allocated to personal or business use. At the end of the month, a pro-rata amount is deducted from my salary. This worked well for my previous diesel car. I now have a PHEV which I charge at home. I am now at the end of month 1 and have submitted three figures instead of two; Pure Electric mileage, Personal Mileage and Business Mileage. I have been told that there is no mechanism within HMRC to account for the electric mileage and that I have to include those miles in my Personal Mileage figures. Theis means that I will pay for those miles twice as the fuel cost split will include those miles. How are other people dealing with this situation?
I work for a company who issue fuel cards for company cars. Trips are recorded and allocated to personal or business use. At the end of the month, a pro-rata amount is deducted from my salary. This worked well for my previous diesel car. I now have a PHEV which I charge at home. I am now at the end of month 1 and have submitted three figures instead of two; Pure Electric mileage, Personal Mileage and Business Mileage. I have been told that there is no mechanism within HMRC to account for the electric mileage and that I have to include those miles in my Personal Mileage figures. Theis means that I will pay for those miles twice as the fuel cost split will include those miles. How are other people dealing with this situation?
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Comments
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How would you paying for the fuel and them paying you the business miles work ? Could possibly benefit you if you could maximise the electric on business. How do the numbers work out - petrol / electric miles, business / private miles ?0
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This is one of the problems with having a PHEV as a company car.
I too have a company car which is a hybrid and I don't charge it Friday night or Saturday night for the very reason you highlight i.e. you would be paying for it twice. I do charge it Sunday to Thursday and ALL the electric mileage is used as business mileage. My employer doesn't pay me anything but I charge the car since my conscious tells me environmentally its better to charge than not to.
I think I can claim tax relief on the cost of the electricity from HMRC (according to the car manufacture it costs about 75p to charge my car and thus as a 40% tax payer I would be claiming 30p per day from HMRC). According to my dodgy calculations it costs £1.40 or £1.67 to charge it depending on how you calculate it.I have a tendency to mute most posts so if your expecting me to respond you might be waiting along time!0 -
That is a pretty good idea if your employer is willing to dispense with the fuel card. Alternatively your employer could reimburse you for the total cost of electricity used to charge your car so that they continue to pay all fuel costs for the car and then charge you for your private mileage.How would you paying for the fuel and them paying you the business miles work ? Could possibly benefit you if you could maximise the electric on business. How do the numbers work out - petrol / electric miles, business / private miles ?
Such an arrangement would be perfectly acceptable to HMRC. For example note that in this link hybrid vehicles are treated as their conventional fuel equivalents.
https://www.gov.uk/government/publications/advisory-fuel-rates/advisory-fuel-rates-from-1-march-20160
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