Eligible for Tax relief?

.Andy · 23 Mar 2006 at 10:05

This has come up in a few threads now and has got me thinking.

My girlfriend works for the NHS, and she has to use her own car for various patient visits etc. Now she is insured correctly i.e. for business and any excess we incur is covered by the NHS IIRC. They also pay her ~14p per mile she does. Is she also eligible for tax relief at all?

It was really brought up by something Rotty mentioned in Ev0's thread!

CocoPops · 23 Mar 2006 at 10:08

As I understand it...

you can claim additional pence per mile at the end of the tax year.

So she claims 14p/mile from her company, then claims an addtional 26p/mile upto the first 10,000 miles per year.

.Andy · 23 Mar 2006 at 10:21

cool, thanks for that.

Cant find anything on the inland revenue site as to how you go about claiming that back. Any clues!?!?

CocoPops · 23 Mar 2006 at 10:28

Here's a good place to start

http://www.hmrc.gov.uk/mileage/index.htm

Rotty · 23 Mar 2006 at 10:30

.Andy said:
cool, thanks for that.

Cant find anything on the inland revenue site as to how you go about claiming that back. Any clues!?!?

yes she is entitled to it , you just fill it in at the end of the year on a standsr tax return and it gets paid

my company sorts it for me though , I tell them the mileage and they pay it in my wages each month and they then collect it from the inland revenue

to be honest 14p a mile is an absolute disgrace if she isn't getting a monthly allowance too

Rotty · 23 Mar 2006 at 10:32

CocoPops said:
So she claims 14p/mile from her company, then claims an addtional 26p/mile upto the first 10,000 miles per year.

that would be nice , she actually claims tax relief on the 26p ( so 22% (or 40%) of 22p )

CocoPops · 23 Mar 2006 at 10:35

Ok, so maybe you can help me rotty

I get a car allowance and a petrol card.... I pay tax on the petrol used at the end of the year etc....

but can I claim tax relief (ie get a cheque back) based on the business miles I do as I don't get a milage allowance.

merlin · 23 Mar 2006 at 10:37

I also need to get my head around this.

I get a car allowance - just a salary hike and run the car myself.

I pay for all the fuel in the month then declare business miles and get the business fuel back in full.

Can I claim anything? I don't get a mileage allowance - just a salary hike and the business portion of my fuel spend back.

Rotty · 23 Mar 2006 at 10:40

CocoPops said:
Ok, so maybe you can help me rotty

I get a car allowance and a petrol card.... I pay tax on the petrol used at the end of the year etc....

but can I claim tax relief (ie get a cheque back) based on the business miles I do as I don't get a milage allowance.

I believe so , you would need to work out how much per mile you were recieving from work ( based on fuel cost ) and then claim the difference

Rotty · 23 Mar 2006 at 10:41

merlin said:
I also need to get my head around this.

I get a car allowance - just a salary hike and run the car myself.

I pay for all the fuel in the month then declare business miles and get the business fuel back in full.

Can I claim anything? I don't get a mileage allowance - just a salary hike and the business portion of my fuel spend back.

yes you can

it's as simple as this , if you run your own car and get paid less than 40p per mile ( 25p after 10k ) then you can claim tax relief on the difference , this is regardless of any other monthly payment your receive

CocoPops · 23 Mar 2006 at 10:46

Rotty said:
I believe so , you would need to work out how much per mile you were recieving from work ( based on fuel cost ) and then claim the difference

See thats the thing...

I pay ALL of my petrol on a fuel card, and don't pay any private miles back to the company....

So the tax office, just tax me as a benefit. Last year I paid £3000 in fuel, so was taxed at 22% of that.

This year, I want to claim what I'm entitled to.

Rotty · 23 Mar 2006 at 10:48

CocoPops said:
See thats the thing...

I pay ALL of my petrol on a fuel card, and don't pay any private miles back to the company....

So the tax office, just tax me as a benefit. Last year I paid £3000 in fuel, so was taxed at 22% of that.

This year, I want to claim what I'm entitled to.

so you get taxed for free private fuel ?

cant see why that would make any difference , calculate how much per business mile they are paying you ( via the fuel card ) and claim relief on the difference

CocoPops · 23 Mar 2006 at 10:50

Rotty said:
so you get taxed for free private fuel ?

Yeah, we are given the fuel card and told to use it for every time we fill up.

So in effect, I don't ever pay for petrol... I just pay the tax on it, when it's declared on the P11D (I think thats what it is).

merlin · 23 Mar 2006 at 10:56

Rotty said:
yes you can

it's as simple as this , if you run your own car and get paid less than 40p per mile ( 25p after 10k ) then you can claim tax relief on the difference , this is regardless of any other monthly payment your receive

Tax relief on the difference? What difference?

The difference between nothing (which is what I get) and 40ppm?

So would I claim tax relief on 40ppm (25p over 10k) then?

Sorry for the stupid questions Rotty - bit thick when it comes to tax stuff.

Rotty · 23 Mar 2006 at 10:59

merlin said:
Tax relief on the difference? What difference?

The difference between nothing (which is what I get) and 40ppm?

So would I claim tax relief on 40ppm (25p over 10k) then?

Sorry for the stupid questions Rotty - bit thick when it comes to tax stuff.

you said you get the business fuel money back so it i 40p ( or 25p ) less the amount you get for fuel