Originally posted by mannyo in this post

My company pays 40p mile , which I dont think is to bad. They used to pay 44p but due to tax changes they reduced it otherwise I would be taxed on the 4p.

If my information is correct when the changes brought the 44p mile down to 40 the mileage cap for this rate was increased from 4000 miles per (tax) year to 10000 miles and the lower level of payment after exceeding this limit was raised from 20 to 25 pence per mile. My employer is only still only paying 40p for 4000

(but these are max figures so they can do that) however I'm told that I can claim the difference on my tax return. I will be doing this since that will be 12-13k miles @15p so it should be worth filling out the forms.

Paul - this is correct - in this and the previous tax years it is 40p for the first 10000 miles, 25p thereafter. You get taxed on any amount you are paid over that and conversely you can claim the tax back if you are paid less. Info is here http://www.inlandrevenue.gov.uk/rates/mileage.htm

and you can claim back some more for interest paid on a finance agreement

Right, how do I claim this back? Anyone any ideas on form numbers?

I get 12p a mile (on top of monthly car allowance) and I pay interest (naturally) on the finance agreement for the car.

i pay for everything car related. always have, always will :(

Originally posted by Huck in this post

i pay for everything car related. always have, always will :(

Then please excuse the rest of us for plotting to retrieve what is rightfully ours from the taxman:D

Originally posted by ncarring in this post

Paul - this is correct - in this and the previous tax years it is 40p for the first 10000 miles, 25p thereafter. You get taxed on any amount you are paid over that and conversely you can claim the tax back if you are paid less. Info is here http://www.inlandrevenue.gov.uk/rates/mileage.htm

Thanks for the link, I'll start putting my case together now....Being a boring old fart I have a spreadsheet set up to capture all my motoring costs, and track my mileage claims from the company, so I'm sure I'm have all the necessary info.

It's quite alarming to see just how much it costs to run a motor, I put a couple of formulae into the spreadsheet; one of them is set to calculate a 'real' pence per mile cost. I almost wish I hadn't done it:eek:

Ian, just ring your local tax office, they were extreemly helpful to us when we were sorting out Wendys car. If you have an accurate estimate of your annual mileage they will even reduce your current year tax code & then do an adjustment at the end of the tax year. We put in a slight lower figure & that way the adjustment at the end of the year will be in our favour.

Remember to keep good records & hang on to them for a few years in case they come back

Tried the KW'S out last night on a short 12 mile run, 20.2 mpg but fun fun fun