Business Mileage

bfgun

I have a question regarding the claiming of mileage for business related travel using a personal vehicle.
I am seeing mixed messages as to what is permissible to claim, and I cannot obtain clarification from the searches I have conducted via HMRC.

Example:

If my place of work is a 20 mile round trip from where I live and, on one day, I attend an external meeting which I travel directly from my home to and from, totalling 40 miles, do I have to deduct the 20 miles that I would normally have undertaken if I was going to my usual work place?

I am seeing some historical posts that say yes, this is the case, and others that disagree.
However, I cannot find any HMRC documentation to clarify either way, only documentation explaining tax payable.

From many years back I have heard of this "policy" about deducting mileage that would normally be incurred IF travelling to a normal place of work, but I can not find anything in writing.

If such documentation exists, is it HMRC guidance for employers or is it the law?

Dazed_and_C0nfused

I suspect you are getting confused between what your employer may allow you to claim and what you can claim tax relief on from HMRC.

Booklet 490 will be the best starting point.

https://www.gov.uk/government/collections/tax-and-national-insurance-contributions-for-employee-travel-490

bfgun

Dazed_and_C0nfused said:

I suspect you are getting confused between what your employer may allow you to claim and what you can claim tax relief on from HMRC.

Booklet 490 will be the best starting point.

https://www.gov.uk/government/collections/tax-and-national-insurance-contributions-for-employee-travel-490

Thank you for your reply, and the link. I will take a look.

My employer pays £0.45 per mile and I understand that if they paid anymore, it becomes taxable.

I was trying to understand whether I must deduct the miles that I would normally incur if going to the office, from the total amount of miles driven, despite not attending the office as part of the trip.

I'll check your link to see if that provides clarification.

Thanks

Dazed_and_C0nfused

Is your question about what you can claim from your employer?

jefaz07

At my place of work they have a nearer than rule. My place of work is south of where I live.  

So, if I was going south 100 miles and I was leaving from home I’d deduct the mileage from home to my place of work, and claim the rest. 

If I was going north I’d take my mileage from my home address and not my place of work as this is less mileage. 

zagfles

HMRC allow you to claim the full distance. Your employer might not. If they don't you can claim tax relief at the HMRC allowed rate x HMRC allowed mileage minus what the employer pays.

lisyloo

I think you’re entitled to the 40 miles as far as HMRC are concerned

https://www.emtax.co.uk/blog/travelling-expenses-rules-explained

you’d need to check your employers policy though.

400ixl

It will be down to your employer as to what they are willing to pay, so you need to adhere to their travel policy.

bfgun

Dazed_and_C0nfused said:

Is your question about what you can claim from your employer?

No, I'm clear on that - £0.45 for the first 10,000 miles PA and £0.25 for everything after that.
This is what I am paid now.

However, someone is alleging that a persons normal mileage to and from their usual workplace, must be deducted from each claim made.

So, if my usual journey from home to the office and back again is 20 miles, but on one day I do not go to the office, but travel from home to an external meeting and back home again, totalling 40 miles, I have been told I can only claim 20 miles as I must deduct the mileage I would normally have undertaken if I was going to my office.

This is what I am trying to find whether this is stipulated by HMRC, if so, where is it.
I have looked through numerous documents via the link you provided and I cannot see any reference to that.

This link covers business mileage for private vehicles: https://www.gov.uk/expenses-and-benefits-business-travel-mileage/rules-for-tax  but makes no mention of deducting normal commuting mileage.

Maybe this was something that was deemed normal in the past, as I cannot find any reference to it now.
HMRC seem only to be concerned for those that are paid more than the rates advised, then it becomes a taxable matter.

bfgun

Thanks to those that have replied to the effect that HMRC allow the full journey cost to be claimed, but employers may not.
I think this is correct.
In my case, there is no policy to that effect, at least not one that I have been provided with or agreed to.

sheramber

If you are claiming from your employer  you follow your employers rules.
My employer worked the same way.

What you claim from your employer is not the same as what you claim from HMRC.

Remember your employer pays you 45p/25p per mile. HMRC only give you tax relief on 45p/25p.