Clients pay mileage but I want to use Actual Costs for car expenses, how is this possible?

So0phZ

I am doing the book-keeping/accounting for my Dad's consulting business and I've struggled to find the answer to the below:
Clients are invoiced for the day rate and most pay his expenses which include mileage. I want to use the Actual Costs method and capital allowances for his car rather than the flat rate expenses. So, if I want to use the Actual Costs, would I be ok to work this out but then deduct the amount paid to him by clients as mileage expenses from the total costs able to be deducted from income as expenses? Is it not possible to do, or is there another way to do this?

DullGreyGuy

So0phZ said:

I am doing the book-keeping/accounting for my Dad's consulting business and I've struggled to find the answer to the below:
Clients are invoiced for the day rate and most pay his expenses which include mileage. I want to use the Actual Costs method and capital allowances for his car rather than the flat rate expenses. So, if I want to use the Actual Costs, would I be ok to work this out but then deduct the amount paid to him by clients as mileage expenses from the total costs able to be deducted from income as expenses? Is it not possible to do, or is there another way to do this?

So is this a limited company or is he a sole trader? 
Who is the owner of the vehicle, assuming its an incorporated business?
Has any expenses/relief already been claimed on the flat rate scheme? 

"expenses" paid by clients is just additional revenue on top of the day rate, there is no special treatment for them. Obviously you deduct from the revenue all allowable business expenses to calculate the profit. 

So0phZ

This is a sole trader business and my Dad bought the EV for himself when starting out in Nov and uses it for 95% business journeys. This is the first time accounting is being done for the business so the flat rate scheme hasn't already been in use.
Fab, so  if I'[m understanding correctly, the "expenses" I treat as more income and then deduct the actual costs from it. Thank you so much!

Nomunnofun1

So0phZ said:

This is a sole trader business and my Dad bought the EV for himself when starting out in Nov and uses it for 95% business journeys. This is the first time accounting is being done for the business so the flat rate scheme hasn't already been in use.
Fab, so  if I'[m understanding correctly, the "expenses" I treat as more income and then deduct the actual costs from it. Thank you so much!

It’s just income. If the client wants to add expenses it’s just more money for your Dad!