Posted on 22/08/13 · Posted in News

Over the last couple of weeks I’ve reminded two clients about the HMRC Approved Mileage Allowance Payment which is available when a business owner, employee or Director uses their own car for business purposes.

For all cars the amount claimable for the first 10,000 business miles is 45p per mile and 25p per mile thereafter. An equivalent system is also operated at 20p per mile for bicycle travel and 24p per mile for motorbike travel.

Many business owners who have a vehicle through their business (eg. a van) do not include their personal car in the business believing that this will not be allowed by HMRC. Whilst this may be broadly correct, remember that you are still able to claim up to 45p per mile every time you use your personal car for a business trip. This might include trips to the bank, post office, to look at jobs in order to provide a quote and a whole host of other situations.

Better still, if you’re in the habit of jumping on your bike or motorbike to ride down to the bank to bank a cheque or to the post office to buy some stamps you can claim 20p or 24p per mile from your business.

Remember though – keep a note of each trip including the date, destination and mileage involved just in case HMRC ever require these.

Any questions – you know where I am!!

Paul

 

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