[H S and Son]

Ever since Ive been self-employed Ive always used the 40p per mile allowance for the running costs of any vehicle Ive had. Its been this level of relief since before the dinosaurs. Who uses the 40 p allowance and who keeps their receipts for all vehicle costs.

Im sure as my vehicle gets older and thus costs more, notwithstanding putting the wrong fuel in, that Im now on the wrong system. Im changing this year, particularly as Im reinvesting in a new wagon within the next few months.

[CLEANCARE WC]

always done receipts as my vehicles have always been "older" hence more costs in repairs etc

on 40p a mile i would be well out of pocket.

[Mike #1]

used both in the past .  but currently filing receipts as it works out better for me even though i bought a 60 plate pickup truck as you can use capital expenditure and keep a pool  so you can claim so much of it over a few years as well as setting off a percentage of the loan repayments . MIKE

[Lee GLS]

It's 45p per mile now

[H S and Son]

Is it? Bout bloody time 

When did that go up?

[Lee GLS]

Is it? Bout bloody time 

When did that go up?

From April, was announced in last years budget, needs to go up to nearer a quid with how much fuel has gone up.

[H S and Son]

Damn right. Cheers lee.

[Sean Dyer]

thats good to know

I charge the 40p as i do alot of mileage but might keep reciepts this year too and check both!

[Window Washers]

thats good to know

I charge the 40p as i do alot of mileage but might keep reciepts this year too and check both!

get an accountant and ask them, thats what they are there for

[♠Winp®oClean♠]

If you use the 40p system, then bear in mind you will have higher business profits too. So you'll have an increased tax + NI liability & it could affect any benefits you receive based on income.

[H S and Son]

Thats exactly what I suspect. I pay a bloody shedload of tax, have an accountant for tax purposes, still pay far too much IMO. My tax bill is 5K a year.














I only earn a pittance too.

[Mike #1]

I know how you feel matt my earnings doubled last tax year but my tax bill has more than trebled to almost £3,000 .  MIKE

[Paul Coleman]

I have always done it by receipts myself.
The trouble with the mileage method is that you can have a double whammy when the taxman/government need more tax income (like now) because they can use the tactic of suppressing the mileage allowance to gain more tax.  I imagine the good bit about using mileage is that financial planning is a bit easier as the allowances would be more consistent - especially as a vehicle ages.

[H S and Son]

The main reason I opted for the 40/45p per mile option Paul was because it simply meant not having to keep receipts, easier really. Over the years Ive simply forwarded an average number of miles per day worked and thats worked in its simplest sense. But that was done because adminwise I was dreadful, no discipline or organisation whatsoever.

Nowadays Ive become a bit better in that dept so keeping recepits and records isn't an issue anymore, and Im thinking it'll save me money if I do it that way.

[Paul Coleman]

The main reason I opted for the 40/45p per mile option Paul was because it simply meant not having to keep receipts, easier really. Over the years Ive simply forwarded an average number of miles per day worked and thats worked in its simplest sense. But that was done because adminwise I was dreadful, no discipline or organisation whatsoever.

Nowadays Ive become a bit better in that dept so keeping recepits and records isn't an issue anymore, and Im thinking it'll save me money if I do it that way.

Indeed.  A good idea if someone isn't organised about things.

[Lee GLS]

Matt. You can only change from 45p per mile to actual running costs when you change your vehicle.

[Sean Dyer]

thats good to know

I charge the 40p as i do alot of mileage but might keep reciepts this year too and check both!

get an accountant and ask them, thats what they are there for

good for them....