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Business mileage
DMC36
Posts: 4 Newbie
in Cutting tax
Good afternoon
I'm hoping somebody may be able to please provide me some advice with tax relief on business mileage. I have recently started a new job where I am no longer working in one fixed location, something I have no experience of doing so I'm unsure how the tax relief process works.
My contract specifies a base location, which I only visit twice a year for reviews, the rest of my time is spent working across 1 of 10 locations each day. Which location I'm working at will vary from day to day, and week to week.
With regards to claiming tax relief, am I correct in understanding I can only claim the difference in mileage for the travel from my home address to my base location, and my home address to my work location for that day?
Ie 10 miles between home and base location and 25 miles between home and one of the out bases, I could claim tax relief on the 15 miles difference
Or am I able to claim for the complete journey of 25 miles as I'm only required to attend my base location twice a year?
Thanks in advance for any advice you can provide
I'm hoping somebody may be able to please provide me some advice with tax relief on business mileage. I have recently started a new job where I am no longer working in one fixed location, something I have no experience of doing so I'm unsure how the tax relief process works.
My contract specifies a base location, which I only visit twice a year for reviews, the rest of my time is spent working across 1 of 10 locations each day. Which location I'm working at will vary from day to day, and week to week.
With regards to claiming tax relief, am I correct in understanding I can only claim the difference in mileage for the travel from my home address to my base location, and my home address to my work location for that day?
Ie 10 miles between home and base location and 25 miles between home and one of the out bases, I could claim tax relief on the 15 miles difference
Or am I able to claim for the complete journey of 25 miles as I'm only required to attend my base location twice a year?
Thanks in advance for any advice you can provide
0
Comments
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Assuming this is your own vehicle and you’re employed.The HMRC rules state “This does not include travelling to and from your work, unless it’s a temporary place of work.”.
There is no requirement to subtract your “normal” place of work miles off these trips. However you will need to minus off any amount your employer is paying in mileage allowance.
https://www.gov.uk/tax-relief-for-employees/vehicles-you-use-for-work
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It's way more complicated than that in your situation. A permanent workplace can be more than one location if it is 'regularly attended' or it could be deemed an area.
Is your employer paying any mileage?0 -
The bible on this is here:
https://www.gov.uk/government/collections/tax-and-national-insurance-contributions-for-employee-travel-490
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Thanks for getting back to me. Just to answer a couple of your questions, I am using my own vehicle for travel and my employer does not pay any mileage, nor provide a fuel card0
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That is pretty stingy of them.DMC36 said:Thanks for getting back to me. Just to answer a couple of your questions, I am using my own vehicle for travel and my employer does not pay any mileage, nor provide a fuel card
Many employers will pay 45 p a mile, or at least some proportion of that.0 -
Maybe they are not paying as they deem it ordinary commuting, which it could be.Albermarle said:
That is pretty stingy of them.DMC36 said:Thanks for getting back to me. Just to answer a couple of your questions, I am using my own vehicle for travel and my employer does not pay any mileage, nor provide a fuel card
Many employers will pay 45 p a mile, or at least some proportion of that.0 -
OK it is nor clear cut, but if an employee is travelling back and forth to 11 different locations using their own car, I think most companies would offer some kind of monetary compensation, even if just for the fuel.BoGoF said:
Maybe they are not paying as they deem it ordinary commuting, which it could be.Albermarle said:
That is pretty stingy of them.DMC36 said:Thanks for getting back to me. Just to answer a couple of your questions, I am using my own vehicle for travel and my employer does not pay any mileage, nor provide a fuel card
Many employers will pay 45 p a mile, or at least some proportion of that.2 -
Well if they did pay for ordinary commuting it would be taxable.Albermarle said:
OK it is nor clear cut, but if an employee is travelling back and forth to 11 different locations using their own car, I think most companies would offer some kind of monetary compensation, even if just for the fuel.BoGoF said:
Maybe they are not paying as they deem it ordinary commuting, which it could be.Albermarle said:
That is pretty stingy of them.DMC36 said:Thanks for getting back to me. Just to answer a couple of your questions, I am using my own vehicle for travel and my employer does not pay any mileage, nor provide a fuel card
Many employers will pay 45 p a mile, or at least some proportion of that.0 -
Good afternoon
My contract specifies a base location, which I only visit twice a year for reviews, the rest of my time is spent working across 1 of 10 locations each day. Which location I'm working at will vary from day to day, and week to week.
What else does it state. Flexibility with regards to work location is a common clause.0
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