Mileage expenses - unsure

[mobwell]

I know I can pay myself mileage expenses from my Ltd Co. for up to 2 years at the same place of work, or until I know I'll be working at the same place for over 2 years, but I'm not clear what happens now the site I work at has changed. Basically I still contract out my services to the same company but it has moved to a different site 20miles away. Both the old and new sites are about 9 miles from my home. I don't know if this constitutes a new temporary place of work and if the clock starts at zero again or not.
If I assume it is a new place of work and continue paying myself mileage expenses for up to 2 years at that site (over 2 years at both sites combined), what will happen if I'm investigated and HMRC disagree? Do I simply pay it back to my company or would I be in line for a big fine?

[Ardesco]

I belive you are fine if the new site is 20 miles away. If investigated you will be asked to pay back the extra tax you haven't paid and they could fine you as well.

Ask your accountant what he thinks and get him to deal with HMRC if you are investigated, accountants will be better at convincing HMRC and if there is tax outstanding or a fine after investigation your accountant should be able to negotiate a reduced bill at the end of the day.

Useful things accountants

[mobwell]

Sorry,made a mistake on my initial post. I live 20 miles from each site, but the 2 sites are only 9 miles apart. I'm sure that makes a difference. I claim £4-5K mileage expenses a year from my Ltd Co so I don't want to miss out on it if I can legally claim it, but has anyone got any idea about the size of a fine if I am wrong.
By the way my accountant is useless (but cheap) and doing most things myself helps me learn and makes it easier to move another accountant in the future. I don't trust his advise, but he's ok with the basic stuff.

[Bluebird]

http://www.hmrc.gov.uk/manuals/eimanual/EIM32280.htm

see attached