Reply to: Mileage Claims

[Bluebird]

OK,

I understand the amounts that can be claimed during the financial year, but
what if you have been slack in your book keeping and cannot remember the exact journeys and exact amount of miles you have travelled.

How can you calculate the amount of mileage you can claim from the total £ receipts you have????

You don't need the reciepts for your personal re-imbursement from your co - you only need them if you are off-stting VAT collected against VAT incurred - if you don't have the reciepts then you cab include them as part of your VAT.

- Or you make up the journeys as best as you can remember them.

[googleface]

Clarification

OK,

I understand the amounts that can be claimed during the financial year, but
what if you have been slack in your book keeping and cannot remember the exact journeys and exact amount of miles you have travelled.

How can you calculate the amount of mileage you can claim from the total £ receipts you have????

[VectraMan]

I run a private limited company and with my current contract I travel extensively. Luckily the client allows me to charge all these expenses back to them, and mileage is charged to them at 40ppm. I just fill in an expense claims form (which hotels, mileage, food etc) and include the VAT amounts for everything but mileage. I then invoice for the total amount. Does anyone know what I do about VAT for the mileage?

The expenses you invoice the client for are part of the sale, so you charge them 40ppm + 17.5% VAT.

You can then claim your personal mileage back from yourco at 40/25 ppm, and yourco can reclaim 2ppm VAT (or the amount you have receipts for, and if not on FRS).

Really the two cases are entirely independent.

[moscow]

In responce

I run a private limited company and with my current contract I travel extensively. Luckily the client allows me to charge all these expenses back to them, and mileage is charged to them at 40ppm. I just fill in an expense claims form (which hotels, mileage, food etc) and include the VAT amounts for everything but mileage. I then invoice for the total amount. Does anyone know what I do about VAT for the mileage?

Hi Dazbanks
When you get the 40p per mile off the client does this class as normal income on tax returns and you are therefore taxed on this amount, If so can you then also claim back your travell expenses such as fuel servicing etc

[dazbanks]

I run a private limited company and with my current contract I travel extensively. Luckily the client allows me to charge all these expenses back to them, and mileage is charged to them at 40ppm. I just fill in an expense claims form (which hotels, mileage, food etc) and include the VAT amounts for everything but mileage. I then invoice for the total amount. Does anyone know what I do about VAT for the mileage?

[dmini]

My understanding is that it depends f you are on flat rate vat or not.
Flat rate you cannot reclaim it ( so dont need receipts)
ordinary vat you can (so do need receipts)

[Sausage Surprise]

And you keep (VAT) receipts because you can also reclaim VAT
at something like 2p per mile.

Eh? That's a new one on me.

[RSoles]

And you keep (VAT) receipts because you can also reclaim VAT
at something like 2p per mile.

[XLMonkey]

And when do you reset the clock? From April to April is it?

Yes, I think so. The 40p/25p mileage rates are HMRC approved, so you re-set the clock at the start of each tax year.

[scooterscot]

Here's an awkward one, does it matter what country your in when claimng?

[scooterscot]

40p per mile for the first 10k miles, 25p thereafter. No receipts required, just records of journey. Date, to-from etc. I just keep a spreadsheet.

And when do you reset the clock? From April to April is it?

[aceboy]

I am lead to believe that you need to keep a log book of miles as well, however I may have been mis-led.

[NotAllThere]

Probably a little over-cautious. ( Perhaps something to do with recovering the VAT element? ).

[fzbucks]

I was advised to keep receipts for petrol purposes even though I claim the 40 per mile just in case I ever need to backup that I have bought enough petrol to cover the mileage claimed.

[kirk]

40p per mile for the first 10k miles, 25p thereafter. No receipts required, just records of journey. Date, to-from etc. I just keep a spreadsheet.