Mileage Allowance

[steve_b_wales]

The company I work for refunds you (45p/mile) for any journeys you make for training etc, and allow this from your home and return if it's outside your normal contractual hours. I have just been informed by the Payroll department HMRC now only allow journeys from head office etc to your home and not both ways! Only a few months ago I claimed to and from head office to my home and was paid in full. I have asked the payroll department to further explain this and I'm waiting for the reply.

Has anyone else heard anything about this? I honestly believe that the payroll department are totally wrong.

[RCB56]

You could always ask HMRC then you would know for sure.

[Andy H]

We have just gone through this at work and it is 45p a mile upto 10000 miles a year for any business milage and 25 a mile after 10000 miles for any business milage , Not they only pay one way or only from work to destination It's  all business milage  you do for the company, Check on the . GOV site and it will explain it all.

[discobob]

is the head office your actual office? Are you home based and does your contract state that.. I have had companies try all sorts of things over the years. e.g You have to remove what mileage you normally commute for any claim. You can only claim from your home address or the office address, which ever is nearer...

If it isn't you contracted office - then you can claim the full amount of miles.

[amateur]

As per discobob.

Your employer could still reimburse you the full amount, but it would then be included in taxable income.

 

[discobob]

your other option is if you do a tax return - put the mileage difference in - remember that is only for the first 10k miles as well - it drops after that - can't remember if it is 20 or 25p

quite measly though as it hasn't changed within my working lifetime (I am on about after the forces)

 

[steve_b_wales]

1 hour ago, discobob said:

is the head office your actual office? Are you home based and does your contract state that.. I have had companies try all sorts of things over the years. e.g You have to remove what mileage you normally commute for any claim. You can only claim from your home address or the office address, which ever is nearer...

If it isn't you contracted office - then you can claim the full amount of miles.

No, head office is separate, and we also train at a different venue. I'm not home based. As mentioned, if I am actually in work during a training session, then mileage is paid from work to the training venue and return. Outside working hours, we have always claimed from home and return.

[steve_b_wales]

12 minutes ago, steve_b_wales said:

No, head office is separate, and we also train at a different venue. I'm not home based. As mentioned, if I am actually in work during a training session, then mileage is paid from work to the training venue and return. Outside working hours, we have always claimed from home and return.

Earlier, I spoke to my union rep' and she stated, 'what nonsense'! 

[Duckandswing]

Your union rep is correct. The minimum is 45p per mile up to 10,000 miles then 25p thereafter. Work can pay more per mile if they want to. They can also adjust payments over 10,000 miles if the 25p isn’t suitable and compensate for the tax etc.

Prior to having a company vehicle I charged for whatever mileage I did for work. The car turned a wheel I charged them. If they didn’t pay, then I didn’t use my vehicle. 45p doesn’t cover fuel, tax, insurance and wear and tear and loss of vehicle value due to increased mileage. I personally think it should be more than 45p.

[Poor Shot]

1 hour ago, Duckandswing said:

Your union rep is correct. The minimum is 45p per mile up to 10,000 miles then 25p thereafter. Work can pay more per mile if they want to. They can also adjust payments over 10,000 miles if the 25p isn’t suitable and compensate for the tax etc.

Prior to having a company vehicle I charged for whatever mileage I did for work. The car turned a wheel I charged them. If they didn’t pay, then I didn’t use my vehicle. 45p doesn’t cover fuel, tax, insurance and wear and tear and loss of vehicle value due to increased mileage. I personally think it should be more than 45p.

Are those not the HMRC claimable expense rates?

Your company can pay you as much or as little as they like but you can claim the allowances stated by Ducksandwing above as tax minus the amount that the company pays. Don't quote me on it but I believe there is no statutory rate for mileage expenses hence the claimable allowance from HMRC.

For example:

Company pays £0.10 per mile of private use. You can then claim the remaining £0.35 per mile from HMRC.

I would however be firm and demand that unless a satisfactory amount is paid to you in exchange for the use of your own private vehicle for the companies benefit then they had better arrange taxi travel instead.

[steve_b_wales]

I had an email in work tonight, from payroll, who now say that they are ' happy to pay the full amount' once my manager has signed and authorised the claim forms. They also stated that they have not received the forms, despite me submitting them twice and my manager informing me that he had forwarded them to the payroll department. Irrespective of this, payroll have changed their minds about paying me the full amount. Hopefully I will get the payment in my pay at the end of this month. Watch this space!!!!

[amateur]

Clearly, someone in Payroll reads PW

🤣

[steve_b_wales]

7 minutes ago, amateur said:

Clearly, someone in Payroll reads PW

🤣

😂👍

[ditchman]

i remember a time .....when i had a company credit card and lived off it...even did the family shopping...all fuel for my company car (volvo estate)...dinner for me and the mrs on the weekend....and the odd shooting day which went under client entertainment.........

then it started to change...........😭

[Lloyd90]

44 minutes ago, ditchman said:

i remember a time .....when i had a company credit card and lived off it...even did the family shopping...all fuel for my company car (volvo estate)...dinner for me and the mrs on the weekend....and the odd shooting day which went under client entertainment.........

then it started to change...........😭

Then they started to audit the expenses? 👀🤣

[ditchman]

6 minutes ago, Lloyd90 said:

Then they started to audit the expenses? 👀🤣

not funny................then work was not fun anymore...................thats why they pay people to do it

[yates]

10 hours ago, Duckandswing said:

Your union rep is correct. The minimum is 45p per mile up to 10,000 miles then 25p thereafter. Work can pay more per mile if they want to. They can also adjust payments over 10,000 miles if the 25p isn’t suitable and compensate for the tax etc.

Prior to having a company vehicle I charged for whatever mileage I did for work. The car turned a wheel I charged them. If they didn’t pay, then I didn’t use my vehicle. 45p doesn’t cover fuel, tax, insurance and wear and tear and loss of vehicle value due to increased mileage. I personally think it should be more than 45p.

This, senior management pay themselves much more than 45p per mile

[Agriv8]

We have allways deducted the miles you would normally drive to the office as you could be driving in the opposite direction! i recall I did claim from home  once or twice when I had a annual rail card to get from home to the office on the grounds that I was not using a car for my normal commute from home to the office.

Agriv8

[discobob]

@Agriv8You are not allowed to claim miles to and from your fixed place of work, any other mileage incurred in your job is billable unless your companies policy states otherwise as you have said. That means, however, that the claimee can, using self assessment, claim the difference back against the tax - so for example, you drive fifteen miles to work normally - but you are attending a training course 60 miles away - under your company you can claim 60-15 so 45 miles for each leg. But on their tax return they can enter 30 miles (2 x 15) that they have missed out on - so you would get a reduction of £12.50 of your taxable income - saving circa £2.50 on your tax....

However if your company is stating they do that because of HMRC they are incorrect

[Agriv8]

Thanks disco bob - i can no longer claim work mileage as the costs to get class 1 business use on my transit does not make sense so I know ask for train travel ! 
 

I will wait for a knock on the door from the hmrc police!

Agriv8

[discobob]

4 hours ago, Agriv8 said:

Thanks disco bob - i can no longer claim work mileage as the costs to get class 1 business use on my transit does not make sense so I know ask for train travel ! 
 

I will wait for a knock on the door from the hmrc police!

Agriv8

You may be owed money from HMRC - 7 years I think you can claim back!!

[Vince Green]

On 06/11/2023 at 21:08, Poor Shot said:

Are those not the HMRC claimable expense rates?

Your company can pay you as much or as little as they like but you can claim the allowances stated by Ducksandwing above as tax minus the amount that the company pays. Don't quote me on it but I believe there is no statutory rate for mileage expenses hence the claimable allowance from HMRC.

For example:

Company pays £0.10 per mile of private use. You can then claim the remaining £0.35 per mile from HMRC.

I would however be firm and demand that unless a satisfactory amount is paid to you in exchange for the use of your own private vehicle for the companies benefit then they had better arrange taxi travel instead.

This ^^^^ 100% that's only a tax allowance

I got 95p per mile door to door. I believe the AA recommends 68p as the minimum 

But (and its a big but) you have to make sure your car insurance covers you for business use as most insurances only cover social domestic and pleasure these days.

This happens more if you get your insurance via comparison websites. This is because they strip out the amount of cover to make their quote as competitive as possible.

You could easily invalidate your insurance. Many policies only cover to and from your permanent place of work. Some now don't even allow to and from work at all. 

Edited November 8, 2023 by Vince Green

[steve_b_wales]

On 08/11/2023 at 07:55, Vince Green said:

This ^^^^ 100% that's only a tax allowance

I got 95p per mile door to door. I believe the AA recommends 68p as the minimum 

But (and its a big but) you have to make sure your car insurance covers you for business use as most insurances only cover social domestic and pleasure these days.

This happens more if you get your insurance via comparison websites. This is because they strip out the amount of cover to make their quote as competitive as possible.

You could easily invalidate your insurance. Many policies only cover to and from your permanent place of work. Some now don't even allow to and from work at all. 

My insurance is fully comp' and includes social, domestic and pleasure, plus too and from a place of work, which works out good for me.