Tax Articles
Petrol Tax Relief on Car Mileage
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Not everyone knows that if they use their car, van, motorbike or even their cycle for work they can often claim a tax relief on the mileage. We answer some common questions on this subject. If you do not find the question you are looking for, Send us a message
- What qualifies for business mileage tax relief?
- How do I calculate my business mileage tax relief?
- What records do I need to keep?
- How do I claim my petrol tax relief?
- How far back can I claim petrol tax relief for?
- Any mileage between your home and your place of work.
- Any mileage used for private travel
What qualifies for business mileage tax relief?
If you use your own vehicle you can claim for business mileage on any travel that you do as part of your job. Temporary work places qualify but it does not include:
How do I calculate my business mileage tax relief?
You can calculate your mileage tax relief by multipyling the number of miles you have traveled by the approved mileage rate for your vehicle.
Step By Step
1. Find the total of your business mileage in the tax year
2. Multiply this by your approved vehcicle mileage rate.
3. Add up the mileage allowance given to you by your employer, if any at all.
4. Subtract the amount your employer gave you from the amount calculate in step 2.
Let’s look at an example. During the year you use your car for 850 miles for business. As part of your employment contract your employer pays you 30p per mile . Your business mileage multiplied by your vehicle rate is £340 (850 times 40p). Your employer gives you an allowance of £255 (850 times 30p). Therefore you can make a petrol tax claim for £85 (£340 less £255).
What records do I need to keep?
You should keep as much information as you can including the dates/time that you travelled as well as the journey mileage for each work related journey. Make sure that you keep these records for at least 6 years.
How do I claim my petrol tax relief ?
You can claim your tax relief by completing a tax return. We offer a no obligation service and only charge a fee if you are due a tax rebate on your mileage.
How far back can I claim petrol tax relief for?
You can claim as far back as 6 years for a tax relief on any mileage that you have done.
Any more questions? Send us a message, we are happy to help.
Petrol Tax Returns |
Disclaimer: The above information can not be taken as advice and is for illustration purposes only. Please call Tax Fix before making any claims or confirmation. Tax Fix can not accept any liability for action taken and any losses incurred.
marie - Thursday, May 20th, 2010
I have no recicet for petrol how can I claim my
TaxFix - Thursday, May 20th, 2010
Marie: When making a claim for an allowance it is highly advisable to have proper records so that you can proof your claim.
Leanne - Tuesday, June 8th, 2010
I travel to work and back which is an all round trip of 30 miles per day. Is there anything I can claim back from the tax man for this?…I do not receive any mileage from my current employer.
Thanks
TaxFix - Wednesday, June 9th, 2010
Leanne: The tax man does not allow you to claim mileage for travel between your home and place of work, any other work related mileage can be claimed for.
andrew ellis - Monday, June 21st, 2010
if im not self empolyed and use my car to do calls as im a carer for elderly do i have to fill out a tax return form and if so why
TaxFix - Tuesday, June 22nd, 2010
Andrew Ellis: If you want to claim relief on petrol you may need to complete a tax return to let the Inland Revenue know that you are due this allowance.
Pat - Saturday, June 26th, 2010
I am a care assistant and I am employed (I am not self-employed). Will I be able to claim petrol tax reliefe? Thanks
TaxFix - Saturday, June 26th, 2010
Pat: Care assistants can often claim tax relief on the mileage that they do. The amount of mileage you can claim will depend on your situation.
john - Wednesday, June 30th, 2010
how do i go about claiming for petrol text relief is there a form called p87 thanks
Tony. - Tuesday, July 6th, 2010
I use my own vehicle for work, travelling approx 10,000 miles a year. I receive 40p a mile for this. Can I claim tax relief on the VAT paid for repairs & servicing etc ?
Colin - Saturday, July 17th, 2010
Does the rate of income tax paid have a bearing on this or is it a fixed rate relief?
anthony saunders - Friday, July 23rd, 2010
i am waitng for a milage claim rebate of £4000 how much of that will i actually recieve

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