How do you record mileage?

[northernladuk]

Many accountants offer Free Agent as a part of the price. Get away from those pesky spreadsheets!

Yeah, which eejit would run a contractor accountancy with just a crappy spread sheet

[northernladuk]

Well, I dont think anyone can. You have a business address and a contract say 300 miles away. These are facts.
How do you prove you driven your car, or how do they prove you haven't driven it?

It's more about diligence. If you show the inspector you have done what you should have they won't really be digging through every trip. If you have a new car with only 3k on the clock and claimed 10k mileage (or anything else that looks like a scam, these guys know what they are doing) then you're gonna get your pants pulled down. Do a decent job of it, show you are taking your responsibilities seriously and you are in the clear.

[Lance]

Well, I dont think anyone can. You have a business address and a contract say 300 miles away. These are facts.
How do you prove you driven your car, or how do they prove you haven't driven it?

If you have a spreadsheet with every journey on it that's evidence. They then have to prove you've faked it (which requires a greater burden of evidence), or it's a lie (ditto).

If you don't have a spreadsheet they simply say 'prove it' and you can't can you?

[simondolan]

Yeah, which eejit would run a contractor accountancy with just a crappy spread sheet

The mind boggles. It's just so implausible....

[Waldorf]

I use Freeagent which tracks it for you. Just enter the mileage done at that claim and bob's your uncle. The software will manage the 10k limit etc for you and show the rate to be claimed automatically. Another reason you should be using FA if little things like mileage are causing you issues.

Will FA correctly calculate the VAT that can be claimed back on the mileage rate, taking account the engine size etc?

[northernladuk]

Will FA correctly calculate the VAT that can be claimed back on the mileage rate, taking account the engine size etc?

This page would indicate so.

https://support.freeagent.com/hc/en-...ng-new-mileage

Reclaiming VAT on fuel

You need to be registered for VAT and have a VAT receipt for fuel enough to cover the mileage travelled on this journey if you want to reclaim VAT on the fuel. You can't reclaim VAT on the full cost of the mileage travelled, only on the fuel element. So if you do have a VAT receipt, choose that you want to claim for this mileage, and enter the fuel type of your vehicle and the capacity of its engine. FreeAgent will work out the correct VAT reclaim for you.

I would have thought you'd know that or are you asking to now prove that it's wrong or something?

[washed up contractor]

I am based far away from my client and at the moment I do around 2800 miles per month.
I keep a spreadsheet with traveled distances by day, in respect to the client.
Is this enough? How do you do it?

Some people will go to the nth degree. First couple of years when I started, I used to religiously show start \ finish mileometer reading from the car then the actual miles claimed.

That was far too tiresome (see what I did there?) so, I knew my daily journey was, say, 200 miles x 5 days = 1000 miles @ nppm. Simples. Never had an issue with accountants or HMRC,either.

[barrydidit]

Will FA correctly calculate the VAT that can be claimed back on the mileage rate, taking account the engine size etc?

Yes it does. It will allow you to charge it back to a project too, should you so wish.

[Jings]

On the nice summer days when you decide to take your motorbike instead, do you remember to drop the mileage rate from 45p to 25p for that day?

[kaiser78]

I am based far away from my client and at the moment I do around 2800 miles per month.
I keep a spreadsheet with traveled distances by day, in respect to the client.
Is this enough? How do you do it?

This - you don't need Freeagent.