Hi
Is this what you're looking for:
https://www.gov.uk/expenses-and-bene.../rules-for-tax
Jake
Ok this is an odd one or at least it seems to be, I have been offered a job by a French company but to work in the UK, they have agreed that I should sort my own car and will pay me £560 a month to do this, originally they said this would include fuel but I told them this figure would only cover aquiring a car, insurance and service.mso I’m now trying to find out what the recommended figure is to cover the per mile fuel cost.
I know that for my tax I will claim £0.45 for firstb10k and £0.25 after that but what should the company be paying me? I seem to recall a figure of around £0.10- 0.15 depending on car but I really need a link to an HMRC page confirming this and I just can’t find it.
Any guidance appreciated.
Last edited by justin44; 6th January 2018 at 10:07.
Hi
Is this what you're looking for:
https://www.gov.uk/expenses-and-bene.../rules-for-tax
Jake
I may be wrong, but the 45 / 25p is the maximum allowed, the company can pay you what they like under that if you agree, you then claim the difference if it’s under the 45 / 25p, you can’t claim the full 45 / 25p if they are giving you part of it.
Cheers..
Jase
I claimed the difference back through HMRC iiirc (I think it may have just been tax relief on the delta. You need do to a self assessment
Typical, been searching over an hour and now found it!
It’s this. https://www.gov.uk/government/public...m-1-march-2016
If you’re getting an allowance then surely these rates would apply?
https://www.gov.uk/government/public...o-present-date
Having just finished being investigated by HMRC for this exact subject, I can confirm that JasonM, is spot on.
The company can pay you whatever they/you wish but you should pay tax on it. What is tax deductible is 45p for the first 10k then 25p thereafter. This mileage rate as far as HMRC is concerned covers all associated motoring costs, ie. Fuel, depreciation, servicing, insurance.
If you’re getting an allowance you don’t get the 45p a mile
Fact
The 45p is if you use your own car with no contribution etc
The rates quoted are correct and even if your company pay you nothing per mile, you can claim 45/25p per mile off the tax man, however if they pay an amount eg mine pay 18p per mile then you can only claim the difference back from the tax man, 27p and 7p in this case. Show full working outs on your Self assessment otherwise it can get messy. And yes irrelevant if you get an allowance as that is taxed as income.