Business Miles Mileage Claim

archer.81

Hi All,
I am after some help. I have my own car that I use for work/business miles for my job. Mainly carrying out surveys. 
I put in a monthly mileage claim for business miles only to my employer. But, until recently (last 2 month) I have only been claiming 33p per mile. I think the standard rate is 45p per mile which I am getting now. 
Would it be worth claiming a tax rebate on this? Also, how far back would I be able to go?
i do under 10,000 miles per year. 
Would it be worth doing this at the same time as the working from home tax relief?
Thanks in advance 
Paul

theonlywayisup

If you have HMRC online login, you can reclaim the tax difference online.  In fact you can update all your tax allowances/expenses.

Is it worth doing?  The money is yours, do you want it?

Quorden

Hi, you can claim back up to four years as a tax rebate.

Though to be clear you're claiming for tax relief on the difference between the 45p and the 33p rather than claiming for the actual value. Think in your example, 10,000 miles @ 45p = £4,500. 10,000 miles @ 33p = £3,300. Therefore you can claim the relief on the difference of £1,200.which if you're a basic rate taxpayer would mean you would actually get £240.00.   

Good link here including the link to claim; https://www.taxrebateservices.co.uk/tax-guides/mileage-allowance-relief-guide/ 

TELLIT01

I'm shocked but not really surprised that the mileage allowance is still 45p per mile.  That was the figure when I last had to claim mileage back in the early 2000's

Aylesbury_Duck

TELLIT01 said:

I'm shocked but not really surprised that the mileage allowance is still 45p per mile.  That was the figure when I last had to claim mileage back in the early 2000's

I assume it's because although fuel prices are what, c.50% higher, cars are much more reliable and efficient now, so actual running costs haven't changed significantly?  From a personal perspective, I run older cars so don't suffer much depreciation.  Insurance is also much cheaper - I'm paying less to insure my car than I did 20 years ago, even in absolute terms.  £156 this year, when I used to routinely pay £300 back then.  I make quite a profit on the 45p rate.  I assume the 45p rate is still enough to cover the costs of those running new cars?

Ditzy_Mitzy

Aylesbury_Duck said:

TELLIT01 said:

I'm shocked but not really surprised that the mileage allowance is still 45p per mile.  That was the figure when I last had to claim mileage back in the early 2000's

I assume it's because although fuel prices are what, c.50% higher, cars are much more reliable and efficient now, so actual running costs haven't changed significantly?  From a personal perspective, I run older cars so don't suffer much depreciation.  Insurance is also much cheaper - I'm paying less to insure my car than I did 20 years ago, even in absolute terms.  £156 this year, when I used to routinely pay £300 back then.  I make quite a profit on the 45p rate.  I assume the 45p rate is still enough to cover the costs of those running new cars?

You're right.  I pay less for insurance now than I used to years ago, tax hasn't changed much and I own the car outright.  Assuming my car is capable of more than 3 miles to the gallon, which it is, then 45p a mile would generate significant profit.  Perhaps it's the case that it takes cost for loans and leasing into account for drivers of new cars.  

Jenni_D

3 miles of travel (at 45p per mile) = £1.35
1 gallon (at £1.40 per litre) = £6.36

Surely you'd need 15 mpg to start making a profit (on purely fuel usage terms)?

bris

Jenni_D said:

3 miles of travel (at 45p per mile) = £1.35
1 gallon (at £1.40 per litre) = £6.36

Surely you'd need 15 mpg to start making a profit (on purely fuel usage terms)?

The milegage allowance has never just been about MPG or fuel costs.. It Takes into account all running costs, we don't get free tyres, they wear out and need replacing. Cars don't service themselves, it costs money as do MOT's tax, insurance etc so when you add it all up it's not far off the mark. 

Jenni_D

I don't dispute that - I even caveated my reply with "on fuel usage terms". I was casting doubt on @Ditzy_Mitzy's calculations.  

Ditzy_Mitzy

Jenni_D said:

I don't dispute that - I even caveated my reply with "on fuel usage terms". I was casting doubt on @Ditzy_Mitzy's calculations.  

Which were completely wrong and based on me forgetting that we now buy petrol in litres.  My car does about thirty miles to the gallon, so I'd still be in profit though.