Are you claiming business miles? Perhaps it’s only one mile or maybe 10,000 miles, whether you drive your own car or a company car every mile must be accounted for.
Do you know what a business mile is?
A business mile is exactly what it says on the tin! It is either a journey that forms part of an employee’s employment duties (for example, visiting clients) or journeys that relates to an employee’s attendance at a temporary workplace. Commuting to a permanent place of work does not count (home to office) as a business mile. If you work from home any journeys that are for employment duties are classed as a business (bank/post office visits, client visits.) but you must remember No personal errands can be classed as business mileage.
HMRC says ‘business mileage is mileage you travel doing your job’. This can include:
- Travel between offices
- Driving for business-related errand and supplies such as the post office run.
- Business meals and entertainment
- Travel to and from the airport for business trips
- When your out and about seeking new jobs and opportunities
- Customer visits
- Travel to a temporary workplace
However, it does NOT include:
- normal travel between home (or anywhere that is not a workplace) and your permanent workplace
- private travel
Did you Know?
9 out of 10 employees have at some point submitted an inaccurate mileage claim which deliberately included some personal mileage for their own gain.
You can claim up to 45 pence per mile for genuine business travel?
We can help the accurate way!
At Fleet Innovations, our flagship product uses a 3G device that can be placed into your 12v of your vehicle. The device uses GPS to automatically record your journeys accurately and without any hassle. At the end, of every day, the hardware will send the data over a 3G network to your secure online account. When you are ready all you need to do is to log in to www.peakmiles.com and select what journeys are business and what journeys are personal. Submit your mileage claim to your manager and wait for payment, it really is as easy as that.
So why keep business mileage records?
You may be able to get tax relief for business mileage when you use your own vehicle on business, or for fuel, you buy when you use a company car. You can go back several years to get the relief – the time you’ve got depends on whether you’ve previously sent in a self-assessment tax return to the HMRC.
The HMRC requirements for a compliant claim must contain the following details:
- The Date
- Where the journey commenced-postcode
- The place/company visited
- Where the journey ended-postcode
- The start and closing Mileage
- Total Business miles
WHAT ARE YOU WAITING FOR?
Your next step is to contact Fleet Innovations and have a chat about our mileage capture systems. If you would like a free trial please contact us on 0845 600 6880 or email firstname.lastname@example.org and one of our friendly team will be happy to help.
You also need to start keeping detailed and accurate records of your business mileage. Check your employers business mileage travel expenses are in line with the AFR rates which can be found at http://www.fleetinnovations.com/blog/hmrc-advisory-fuel-rates-from-1st-december-2017/
Alternatively, if you are self-employed it is recommended that you should get advice from your professional advisor such as your accountant.