car expenses

[diane2]

hi
i once found a really good thread on offsetting your car expenses and now i cant find it ! im basically only using a fraction of the running costs for my business ... how do i work this one out .. would appreciate any help, would i just write the mileage iv used to and from craft fairs ?

thanks
diane

[nattynetty]

I was always told to claim 40p a mile for tax purposes, that amount covered petrol, wear & tear etc.

[Curious Cat]

I use the same as natty and record the mileage for each fair etc

cj

[nattynetty]

It's amazing how much it all adds when you start including those trips to the post office, popping into town to get more envelopes, a trip to PC world for that emergency ink cartridge (they always run out at the wrong time), visiting the bank to pay in cheques etc etc etc

[diane2]

thankyou all ... youve been really helpful

diane x

[xavtia]

there are 2 ways to claim tax relief on car expenses,
the 40p a mile is the easiest
the other option is a percentage of tax relief on all expenses so if your business use is 50% then you can claim 50% of all expenses and depreciation this way requires you to have all receipts for fuel and other expenses and is more time consuming but is if you have a lot of vehicle expenses then it's an option.

The only thing the tax office state is that whatever method you decide to use, you have to stick with that method until you change your vehicle.

[diane2]

there are 2 ways to claim tax relief on car expenses,
the 40p a mile is the easiest
the other option is a percentage of tax relief on all expenses so if your business use is 50% then you can claim 50% of all expenses and depreciation this way requires you to have all receipts for fuel and other expenses and is more time consuming but is if you have a lot of vehicle expenses then it's an option.

The only thing the tax office state is that whatever method you decide to use, you have to stick with that method until you change your vehicle.

thankyou x