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Business Mileage

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  • bfgun 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.
    That's nothing to do with HMRC, it's down to your employer's policy.
  • bfgun
    bfgun Posts: 238 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    jefaz07 said:
    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. 
    Clearly your employer has set out a policy, mine hasn't, other than expectation of what others have done in the past.
    Thank you.
  • bfgun
    bfgun Posts: 238 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    sheramber said:
    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.
    I only claim from my employer, I do not claim anything from HMRC as I do not breach the levels that HMRC deem it to be a taxable matter.

    Thank you.
  • bfgun
    bfgun Posts: 238 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    This has been very interesting as I believe that many, including me, thought this to be a HMRC ruling, hence I wanted to see evidence of it, but there isn't any that I can find, and from the feedback, there does not appear to be any.
  • FaceHead
    FaceHead Posts: 737 Forumite
    500 Posts Second Anniversary Name Dropper
    zagfles said:
    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.

    This is the correct answer. The employer is allowed to reimburse for the whole 40 miles, but their policy might be to not. Check the company policy.

    If they had a policy of, say, deducting the journey to the permanent place of work (the 20 miles) then you could claim tax relief on the other 45p x 20 miles, in addition to the 20 miles reimbursed. 

    The wording HMRC uses is that the journey to the temporary place of work needs to be 'significantly different' to the journey to the permanent place of work. If it's different (i.e. 20 miles more!) the the employer can choose to reimburse the whole journey or you can claim tax relief.

    So is a 20 mile round trip in a different direction significantly different? Or getting a train the same amount of time but to a different station? My experience is that HMRC answer 'yes' to both of those. I think what they would disqualify would be working at an overflow office next door, where you've still had basically the same journey on the same train and just walked to a different building.

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