Mileage claims

[SteelyDan]

OK, wife (like me) is an employee of the business, and shareholder (like me) in proportion of say 70/30 in my favour.
I claim mileage to from client site in relation to current assignment role location; normal stuff 0.45/mile for 1st 10k miles; 0.25/mile thereafter.

My wife/fellow company employee does a certain amount of irregular business related mileage; meetings with accountants etc., & other business related mileage/journeys which may include parking fees on occasion.

I know if I was travelling to the accountants, and parking on business related journeys I would be able to claim for them, but is my wife/employee?

If so, I suspect I would just need to set-up another mileage spreadsheet to show what journeys were made etc.?

[eek]

What does your accountant say?

Sorry NLUK but it saves you some typing.

[Clare@InTouch]

If she's on business, yes. Just keep track of the To From and miles travelled as you do for yourself, plus reason for journey.

[SteelyDan]

What does your accountant say?

Sorry NLUK but it saves you some typing.

Does your accountant work on Saturdays? Thought not...tit.

[SueEllen]

You need to clearly separate being a shareholder out from being an employee in your mind.

For example I'm a shareholder in some companies but not an employee of them. When I was a permie employee I wasn't a shareholder of my employers. There are some people in medium sized and large companies who are shareholders as well as employees but I their shares are part of their compensation package.

Anyway when I was a permie employee and had travel expenses due to going on courses, having to travel to client sites etc then I claimed the expenses from my employer, or the taxman if the employer refused to pay.

[SteelyDan]

If she's on business, yes. Just keep track of the To From and miles travelled as you do for yourself, plus reason for journey.

Thanks Claire.

[SteelyDan]

You need to clearly separate being a shareholder out from being an employee in your mind.

For example I'm a shareholder in some companies but not an employee of them. When I was a permie employee I wasn't a shareholder of my employers. There are some people in medium sized and large companies who are shareholders as well as employees but I their shares are part of their compensation package.

Anyway when I was a permie employee and had travel expenses due to going on courses, having to travel to client sites etc then I claimed the expenses from my employer, or the taxman if the employer refused to pay.

Thanks SE, but she receives salary and proportionate levels of divs, so, to my thinking, she should be able to claim it, as I do.
The mileage isn't going to be big numbers, but just thought; why waste an allowance if it's something which she can claim from the business legitimately?

[TheCyclingProgrammer]

The shareholding isn't really relevant, but if she's in the payroll then she can be paid expenses and is subject to the same rules on employee expenses as you are.

Only difference off the top of my head is that if she's not a director and is paid below the £8500 threshold then you have slightly different reporting differences - either nothing to report or possibly a P9D. The HMRC A-Z will tell you.

[Contreras]

You can pay expenses to anyone in pursuit of your business.

Shareholder status / in receipt of dividends, is irrelevant.

Employee status / in receipt of salary, also does not matter in this context.

I would just need to set-up another mileage spreadsheet to show what journeys were made etc.?

Yes.

[Lumiere]

Or if she is giving you a lift to the airport you could potentially claim 45ppm for her and 5ppm for giving a colleague a lift to work one way