Fuel Expenses

[cojak]

Yes, Google could have answered the question, but if you have two people around you telling contradictory points of view on something that should be straightforward, then I can understand why you would ask a forum which would know the answer straight away. It's not a routine "how much can I claim?" but something more specific than that.

Take the into General.

WHS...

And if anyone had bothered to read my last post on the 10p/40p difference they might have found out why...

[northernladuk]

Never heard of this before.

I would have thought it is quite simple to demonstrate that the mileage is genuine: your office is at W2 1AA, your client is based at RG6 1WA. 40 miles x 2 x number of days you travelled there

I have to say I am struggling to actually find anything to back up what I said as most of what I can find relates to VAT but here is another scenario...

your office is at W2 1AA, your client is based at RG6 1WA. You work from home a few days a week 40 miles x 2 x number of days you travelled there = easy money

What is stopping you do this? Might be a daft question if I can't find what I am looking for of course

[FiveTimes]

I've never kept a fuel receipt for any mileage claims and my accountant has never once said I needed to

[DaveB]

Never heard of this before.

I would have thought it is quite simple to demonstrate that the mileage is genuine: your office is at W2 1AA, your client is based at RG6 1WA. 40 miles x 2 x number of days you travelled there

If you are not on the FRS then you can claim back 1p per mile in VAT ( it's a bit more or less than that depending on fuel price fluctiations but HMRC accept a flat 1p for ease of calculation) Since you are reclaiming VAT you need a VAT receipt to support the claim.

[cojak]

Good grief, it wasn't that difficult...

and this

Extract from VAT700 Par 19.7.5


(b) you do not need a VAT invoice for some types of supply if your total expenditure for each taxable supply was £25 or less (including VAT). You must be sure that the supplier was registered for VAT. If in doubt, check with our National
Advice Service. This applies to:

telephone calls from public or private telephones;
purchases through coin-operated machines;
car-park charges (on-street parking meters are not subject to VAT);
and a single or return toll charge.

[DaveB]

I have to say I am struggling to actually find anything to back up what I said as most of what I can find relates to VAT but here is another scenario...

your office is at W2 1AA, your client is based at RG6 1WA. You work from home a few days a week 40 miles x 2 x number of days you travelled there = easy money

What is stopping you do this? Might be a daft question if I can't find what I am looking for of course

Nothing at all but you are supposed to keep an up to date log of journeys and milage. If you get an investigation then HMRC may well start asking you to support your claims that you were in the office 5 days a week every week so you'd need to prove you were there when you said you were.

Back to the OP. The chap claiming 10p a mile, was he driving or riding a pushbike? The milage allowance for pushbikes is 10p per mile.

[ads1980]

Well to be honest it is the only one I have bothered to look at. It just goes to show that all questions arent so lazy or stupid if you dont know the answer. I would rather help people then try to make them look stupid.

And by the way, you are right..... point proved so move on....

[Robot]

Good afternoon all!

I have been having a look around (and forgive me if there is something there about this but I have missed it) to see if I can find any clarity over fuel expenses. I have found threads about leased cars etc but nothing for personal cars and mileage. One of my colleagues claims 40p per mile on his personal car and puts this through his Ltd company as an expense. Another one of my colleagues only claims 10p per mile. So I am not sure how much you can take. I have readt threads relating to the first 10,000 miles etc but I cant work out what (if anything) I am entitled to claim back through my Ltd company for fuel. I dont think there is any point in leasing a car through the company so I just wondered if my fuel costs were a ligitimate expense?

Thanks in Advance.

Perhaps your colleague has a company car

Company Car = Car benefit but they decided against the fuel benefit, so only claims 10p for business mileage.

The 40/25 you claim is to covers /repairs/insurance/MOT and FUEL.

The company car benefit covers /repairs/insurance/MOT BUT not FUEL hence the 10p claim.

[northernladuk]

Well I can't find what I thought was the case about keeping receipts to prove you are doing what you say in case of an investigation. I guess Cojacks link covers it but I am sure there was something about this much later. I withdraw anything I said about that the particular topic as I can't back it up.

Either way, spending anything and claiming it back in somehow on the company and not keeping receipts just incase isn't the best way to operate IMO. You are going to be in the mire IF and that is a big IF you are investigated. Easier just to ask for a receipt IMHO....

Guess it is like insurance, you can get away with it until it goes wrong.

[DaveB]

Well I can't find what I thought was the case about keeping receipts to prove you are doing what you say in case of an investigation. I guess Cojacks link covers it but I am sure there was something about this much later. I withdraw anything I said about that the particular topic as I can't back it up.

Either way, spending anything and claiming it back in somehow on the company and not keeping receipts just incase isn't the best way to operate IMO. You are going to be in the mire IF and that is a big IF you are investigated. Easier just to ask for a receipt IMHO....

Guess it is like insurance, you can get away with it until it goes wrong.

Technically you dont need a receipt, you just need proof of expenditure if you are not claiming back any VAT. Bank or credit card statements will do just as well.