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Discussion Starter · #1 ·
Sorry if this is the wrong forum but I have a query on a tax issue as it relates to my 9-3...

Firstly, the car is mine and does not belong to the company I work for.
My company does provide me with a fuel card to cover all fuel I put into the car.
My company sends a note via P11d form to HMRC detailing the full cost of all fuel over the year and HMRC tax this (40%) as a benefit to me which is fair enough.

I do not claim any mileage rates from my employer for business mileage.

I was led to believe that out of the 20,000 miles I did last year total, the 4,000 business miles I did allowed me to claim 'Mileage Allowance Relief' from HMRC at 40p x 4,000 miles = £1,600 which would allow me to pay less tax.

I phoned HMRC but now they use call centres and I got a typical monkey who didn't even understand the question I was asking.


Is my understanding correct, or can I NOT claim any relief?

any advice appreciated, but the first person who mentions tax and co2 emissions (which are completely irrelevant here) gets shot :grin:
 

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A bit of Googling brought up the following thread which may be useful.

http://www.pistonheads.com/gassing/topic.a...d/private%20car

A couple of quotes (copied below) stood out as relevant.

The full value of the fuel charged to the card was declared on the P11D as a benefit, box 1.15 if I remember correctly.

Then in Box 1.32 you claim the Inland Revenue business mileage rates which was £0.40 per mile for the first 10,000 miles and then £0.25 per mile thereafter.[/b]
I use the card for all my fuel

fuel is a benefit

I keep a record of business miles and claim those as an expense at the usual rates .40p for 10K and .25p after that

usually it works out so they owe me money, enough to service my car, and Ive had "free" fuel all year

running my own car, with a cash allowance + fuel card is definately the best option for me rather than a company car and fuel card, taxed on CO2 ...it actually makes it cost effecient to run a V8 for work LOL[/b]
Hope this helps.
 

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Your understanding is spot on, although the 1600 would be the amount you would be due tax relief on, not the amount you'd be due back.

So in actual monetary terms you'd be looking at claiming back 1600 at whatever your highest rate of tax is. So for you, this would be 1600 at 40% = £640.

That's assuming the amount of benefits in your code was the same as the amount on your P11d in the first place!
 

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Sorry to come late to this, been away. The answer is spot on, but here is how to confirm it for yourself.

I am not a tax expert but was in a senior HR job and I do quite a lot of consultancy work on pay and reward. If you got to he HMRC website (www.hmrc.gov.uk) you will see next to the search box a link for tax agents and advisers. That takes you to the technical guidance section, nothing secret but not quite as plain english as the main bit of the site.

From there, forms manuals and detailed guidance takes you to another page, click on PAYE forms manuals and detailed guidance (assuming you are an employee on PAYE, not self employed).

From there, scroll down to manuals and click on employment income manuals. You are now looking at the manuals that tax inspectors use. I suggest you read the first 2 anyway, and EIM 31200. It takes a while to find exactly what you want but once you find it it is 'gold dust'. It is worth taking a note of the number of any that you rely on so you can refer back to them again.

(Bit short of time to find the exact ones you need, but I am sure you will get there more quickly than holding on the helpline which has become the help-less-line recently.)
 
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