Tax and fuel

Discussion in 'Managing Your Business' started by choco, Nov 18, 2014.

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  1. choco

    choco Member
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    What's the best way to reclaim fuel? Doing about 1500 miles a month and not paying alot of tax at the moment as only been running a few month. From what I understand the 45p a mile, is knocked off the tax you have all ready paid? So wouldn't benefit me much. So the vat back would be far better?
     
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  2. Smurf

    Smurf Banned
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    Best speak to your accountant as he/she would be the one to give you the best advice. Mind you if going by what you are saying then you might be better of to find a better accountant.
     
  3. cheapncheerful

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    yeh not so sure about that on the self assessment online you just put in a reasonable amount and they are usually happy to let it go through..
     
  4. Eclipse

    Eclipse Well-Known Member
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    I put every penny of my truck through. Fuel can either be actual value or vehicle rate at 44p/mile, till need to be able to prove mileage if required though.
     
  5. seye

    seye Forum Addict
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    Fuel is .45p per mile and if you take that rate that includes all car costs where as if claim actual fuel used you can claim all other car costs ie maintenance mot tax insurance etc.
    Sent from my RM-976_1115 using Tapatalk
     
  6. timbeam

    timbeam Active Member
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    You can't claim VAT back unless you're VAT registered.

    Aside from that you have 2 choices:

    1) you can tell inland revenue that the vehicle is ONLY used for business purposes, then you can claim all expenses - fuel, servicing, insurance etc against any tax you pay or;

    2) you use your own vehicle for business purposes and claim 45p per mile back again against any tax you owe.

    If you do option 1 you have to have another vehicle that you can use for personal use otherwise they'll reject the claim.

    Hope that helps.

    Either way you can only claim back any expenses against tax you owe them so if you'll owe no tax, you can't claim anything back.
     
  7. choco

    choco Member
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    Not much point going vat registered then? Turnung over £2000 a month, so would have to pay 300quid vat. Use 200 quid a month fuel, 80quid di resin, would be no where near the 300quid I could claim back. Better off with the 45p a mile and extra tax reduction
     
  8. Eclipse

    Eclipse Well-Known Member
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    how on earth are you spending £80 a month on resin?! I don't spend that a year
     
  9. choco

    choco Member
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    Not using an ro kit atm, the house I'm in at the mo is a right ball ache to do it that way. So just using 2 di vessels on the go. Moving house in 2 months to one where I can use ro kit.
     
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