Answer from the Inland Revenue about Vehicles

[Chatterbox Childcare]

If claiming depreciation then you can claim the business percentage of any cleaning/valeting on your business but NONE if you are claiming the .40p.

If claiming depreciation then as of this year the rules are changing for the percentage allowable and it will be governed by the omissions of the car. This is for cars purchased after 5th April 2009.

To be confirmed - employed people are able to claim .5p per mile per additional passenger they have when travelling (adults and not children). She was unsure of the answer for self employed people and advised us to check with the website or call the help line to clarify (this would be in the case of travelling together to a meeting etc..).

The .40p a mile was decided upon by the government to try and get people to think of the environment and it is NOT envisaged that this will change in the forseeable future.

You CAN claim for any bicycles that are used when out at .20p per mile - yours and any that you own that the children use.

INTEREST on car loans can only be claimed by those claiming depreciation and NOT by those on the .40p per mile.

[Lady Haha]

Just submitted my tax return and was very interested when I got to the end and it gave me a box for 'adjustments' inc capital allowances. I clicked on the little question mark 'help' sign by it and read on about cars in that bit. I always thought you had to keep detailed accounts, like a big company if you wanted to claim a capital allowance, but I got round that here.

My car was only 755 quid and I worked out I use it for business 75% of the time, so that made it cost 566 for my business. I can then divide that by five which comes to 113 per year and claim that amount as an adjustment for the next five years, coming off my profit.

All running costs, MOT and the dreaded work needed to pass it!, insurance, tax, petrol, etc, comes under repairs and maintenance and is an allowable expense. If I were to give it a respray or improve it in some way, I would add that to the capital allowance.

But, you cannot claim the 40p per mile if you do the above.

It works out better for me this way and all I need to do is keep all my receipts for petrol, road tax, insurance, mot etc (like I do anyway!)and deduct 25% for personal use. Shouldn't be too difficult!

If any one knows for definate that I have got this all wrong, please feel free to say so!

[Pipsqueak]

Debbie.... purleassssssee will you do my accounts - pretty please with a cherry on top

(thanks for the info:thumbsup: )

[wendywu]

Now Debbie i am beginning to suspect that you have someting going on between you and the Tax Man. All these romantic little chats and cosy conversations. He is not going to let you off paying you know no matter how many times you toss your golden hair at him.:)

But thanks for finding out for us all the same:thumbsup:

[Lady Haha]

ooops! Yes thanks, Debbie! You've been very busy!

[Zoomie]

You CAN claim for any bicycles that are used when out at .20p per mile - yours and any that you own that the children use..

WOW, that is interesting. 20p/mile - now that is an incentive not to use the car. Wonder if I can claim an extra 5p for using a trailier on my bicycle too :laughing: :laughing: :laughing: (only joking about the 5p bit)

Thanks for the info, and I am intrigued, now cosey did you get ????

[angeldelight]

Thanks for the information Debbie

Angel xx

[Chatterbox Childcare]

Just submitted my tax return and was very interested when I got to the end and it gave me a box for 'adjustments' inc capital allowances. I clicked on the little question mark 'help' sign by it and read on about cars in that bit. I always thought you had to keep detailed accounts, like a big company if you wanted to claim a capital allowance, but I got round that here.

My car was only 755 quid and I worked out I use it for business 75% of the time, so that made it cost 566 for my business. I can then divide that by five which comes to 113 per year and claim that amount as an adjustment for the next five years, coming off my profit.

All running costs, MOT and the dreaded work needed to pass it!, insurance, tax, petrol, etc, comes under repairs and maintenance and is an allowable expense. If I were to give it a respray or improve it in some way, I would add that to the capital allowance.

But, you cannot claim the 40p per mile if you do the above.

It works out better for me this way and all I need to do is keep all my receipts for petrol, road tax, insurance, mot etc (like I do anyway!)and deduct 25% for personal use. Shouldn't be too difficult!

If any one knows for definate that I have got this all wrong, please feel free to say so!


STOP - I think you are wrong - your car needs to be work a lot for your to do it this way. Go back and work out how many miles you did and you will find that you get more with the .40p per mile.

[Chatterbox Childcare]

WOW, that is interesting. 20p/mile - now that is an incentive not to use the car. Wonder if I can claim an extra 5p for using a trailier on my bicycle too :laughing: :laughing: :laughing: (only joking about the 5p bit)

Thanks for the info, and I am intrigued, now cosey did you get ????


It was a lady and I had to share with 25 people... NCMA regional conference very worth while

[DudleyChildmind]

I bought my car and use it solely for childminding so does anyone know what I can claim for please?

[Lady Haha]

Debbie, thanks for the warning, but I've already gone and done it now! To be honest, I don't think there would be alot in it really as I don't drive far really, I only use the car cos of the amount of kids I have! My mileage is only ever about 30-40 miles a week averaged out over a year at most! And I would find it so much easier to just keep the reciepts for the mot, repairs,tax etc (and that little lot adds up to ALOT over a year!) than to work out the mileage of each journey I make, even though I do alot of standard ones.

Must admit you have me thinking now though!!! :panic:

And can anyone clear up the 40p per mile rule for me? I was told in my training that if your car had over 10,000 on the clock you could only claim 25p per mile. But I have since looked over the rules and it seems to me that it actually means if you do more than 10,000 miles in a year it's 25p per mile.

Any one know which is right?

[Chatterbox Childcare]

Debbie, thanks for the warning, but I've already gone and done it now! To be honest, I don't think there would be alot in it really as I don't drive far really, I only use the car cos of the amount of kids I have! My mileage is only ever about 30-40 miles a week averaged out over a year at most! And I would find it so much easier to just keep the reciepts for the mot, repairs,tax etc (and that little lot adds up to ALOT over a year!) than to work out the mileage of each journey I make, even though I do alot of standard ones.

Must admit you have me thinking now though!!! :panic:

And can anyone clear up the 40p per mile rule for me? I was told in my training that if your car had over 10,000 on the clock you could only claim 25p per mile. But I have since looked over the rules and it seems to me that it actually means if you do more than 10,000 miles in a year it's 25p per mile.

Any one know which is right?

40p per mile for the first 10,000 and .25p thereafter

[Chatterbox Childcare]

I bought my car and use it solely for childminding so does anyone know what I can claim for please?

You can claim a blanket .40p per mile or your can look at depreciation. The rules have just changed on what you can claim and if your car omissions are 160 or above it is 10% and if it is below it is 20%. This came in in April and if you brought before it is a flat 20%.

If you go down the route of deprecation you work out your business percentage and claim that amount back against all car costs, tax/mot/cleaning/petrol/insurance/loan interest etc plus the 10/20%

Either way you need to keep a mileage sheet

[Lady Haha]

I have just amended my tax return to take off the car as a capital allowance! I thought I would be able to get out of keeping track of all the mileage, but seems you need to do that anyway to prove what percentage is business use and personal use!!!

Another night in front of the pc now finding out what all my different journeys are in miles so I can make a list of standard trips I do.:angry:

And my car is going in for it'sMOT on Thursday and I know its gonna cost a packet to get it through and thinking of claiming 75% of that as expenses was softening the blow too!:(

[Lady Haha]

40p per mile for the first 10,000 and .25p thereafter

Thanks Debbie!