Claiming back a %'age of car insurance

[Olz]

Can anyone tell me what percentage of my car insurance (use the car for tiling and for personal use), i can claim back against my business.

Grumps maybe.......

Oli

 

[grumpygrouter]

Oli, it is normal if you use your own vehicle for business to put all your motoring expenses through your books and then add back a percentage for private use on your tax return. How much you claim depends on how much private use you have and how much you think you can get away with as a business expense.

 

[Olz]

I claim 40p per mile grumps for travelling, is this 40p inclusive of the insurance, or can i claim a bit more for the insurance aswell as you've described above?

 

[grumpygrouter]

I claim 40p per mile grumps for travelling, is this 40p inclusive of the insurance, or can i claim a bit more for the insurance aswell as you've described above?

Yes, Oli, the 40p/mile is to cover all your motoring costs. Not my preferred method of charging out motoring costs as a sole trader, but what ever works best for you.

 

[doug boardley]

my wife fills car up on my diesel account, as my van doesn't ave a tow bar sometimes she'll have to bring something in the trailer for me, I claim about 90% for all diesel,but I've just remembered the thread was about insurance! oh well..........

 

[grumpygrouter]

my wife fills car up on my diesel account, as my van doesn't ave a tow bar sometimes she'll have to bring something in the trailer for me, I claim about 90% for all diesel,but I've just remembered the thread was about insurance! oh well..........

Glad the tax man doesn't have access to the "arms" forum Doug, he might want to dispute the amount of "private use" being added back here.

 

[Rob Z]

Grumpy,

IS the 40p/mile a rate that is set by your taxing authority (I don't know the name of your version of the Internal Revenue Service in the UK). Here, the IRS sets a flat rate that is independent of the type of vehicle you might be using for business, and it works out for most vehicles that we use in construction that using actual expenses is more beneficial than the IRS rate.

I know my comment doesn't help Oli...I'm always curious to see how things are done in other countries.

I think my Canadian friends hate their version of the IRS more than I do mine, which I didn't think was possible.

 

[doug boardley]

Glad the tax man doesn't have access to the "arms" forum Doug, he might want to dispute the amount of "private use" being added back here.

ha ha, but i might be using an alias:lol:!

 

[grumpygrouter]

Yes Rob. There is something called Approved Mileage Allowance. Over here it depends on how big your engine is (or used to, it may have changed now!) We can claim 40p/mile for the first 10,000 miles and then 25p/mile there after. This is for business use of your own vehicle. It is used mainly for company employees that have to use there own car for company business, but is also accepted in other business enterprises here. For sole trades here in the UK, I prefer to charge ALL motoring expenses through the accounts and then add back a "private use" amount back into the tax return. This way our authority (HM Revenue and Customs over here) can see that an adjustment for personal use has been made.

 

[White Room]

Having a van just for work I claim a 100%, I also have a car which I claim nothing

 

[cornish_crofter]

I claim about 95% for my van. Virtually all my personal trips in the van are via a merchant of one sort or another.

The Land Rover probably accounts for 10% business if that. I have a 2.7 tonne tipper trailer that I use.

 

[TilingLogistics]

I claim about 95% for my van. Virtually all my personal trips in the van are via a merchant of one sort or another.

The Land Rover probably accounts for 10% business if that. I have a 2.7 tonne tipper trailer that I use.

That sounds complicated! Why not just claim 100% on the Van and be done with it?

Kev

 

[Deleted member 1779]

I claim 90% but at 60mpg, £35 tax p/a and £7month insurance theres not much to claim!

Still every little helps...

 

[beanz]

Just a thought, but if you have a sign written van, surely you can claim back 100%. As even when it's personal use, you're still working ie. ADVERTISING!!!!!!! 😀