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      01-10-2016, 02:10 AM   #1
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Who is being stupid? Me? Or HMRC?

I have just got one of those letters that makes me think WTF are you on about.

I use my F30 for work, it's a private car and I don't claim any mileage expenses. So I am allowed to claim back income tax on the 45p/25p rates, sent in my form about 8 months ago, they now write back to me with the following statement:

"I confirm that as your employer does not pay you any mileage allowance you are not entitled to claim any relief from HMRC"

Now is it just me? Or are they being super thick!
How can we expect anyone to pay the right tax when they don't know the rules themselves
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      01-10-2016, 02:26 AM   #2
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Have you been clear the mileage claim is for business use? Does your employer give you any car allowance as part of your package?
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      01-10-2016, 02:47 AM   #3
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Yup, used the P87, so it's clear its for business mileage, I do get a car allowance but it is paid as part of my wages and taxed
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      01-10-2016, 03:18 AM   #4
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HMRC don't know their Arse from their Elbow. If you call them I can virtually guarantee you will get a different response to your query each time you speak to a different advisor!!!!

This sounds like they have got the wrong end of the stick and calling them should resolve it.

Good luck.
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      01-10-2016, 03:44 AM   #5
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Quote:
Originally Posted by Dazzer View Post
HMRC don't know their Arse from their Elbow. If you call them I can virtually guarantee you will get a different response to your query each time you speak to a different advisor!!!!

This sounds like they have got the wrong end of the stick and calling them should resolve it.

Good luck.
Yup will be on the phone tomorrow, it's annoying because if I was less savvy they would be keeping the cash! plus these people pretty much run the countries finance, what do they do in the more complicated situations?!??
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      01-10-2016, 03:52 AM   #6
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Originally Posted by mssond View Post
Yup will be on the phone tomorrow, it's annoying because if I was less savvy they would be keeping the cash! plus these people pretty much run the countries finance, what do they do in the more complicated situations?!??
I dread to think!!!!!!
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      01-10-2016, 04:23 AM   #7
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I swear this is why they no longer offer direct advice on tax/VAT - they tell you to refer to your auditor. They only get involved if you get it 'wrong'! Clueless.
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      01-10-2016, 04:39 AM   #8
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Always call - I find I usually get the right answer when I finally manage to speak with someone.

I recently received two letters from HMRC which gave directly conflicting statements - both were issued on the same date. Go figure.
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      01-10-2016, 04:48 AM   #9
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Oh I love a letter/call from HMRC... they always confuse the hell out of me and I reached the point of paying an accountant to go over all my payslips etc just to make sure someone had a clue about my tax!

8 months later and my accountants have been shite too... I need a better plan next year!

Enjoy your 45 minute wait to get through to HMRC tomorrow! I hope they're helpful - which is also a lottery in my experience!
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      01-10-2016, 05:05 AM   #10
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You use the car for business purposes but your employer doesn't give you anything towards the fuel?
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      01-10-2016, 05:23 AM   #11
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The system is designed to put up as many obstacles and hurdles in the hope you will give up and walk away

Has anyone else ever found they take ages to pick up the phone on the uk residents line however if you phone them on the overseas help line ( via a mobile) it's much quicker.
Ps if you phone via land line they'll refer to uk line.
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      01-10-2016, 05:37 AM   #12
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Quote:
Originally Posted by Kal001 View Post
The system is designed to put up as many obstacles and hurdles in the hope you will give up and walk away
That's a good description of our Concur expense system at work....
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      01-10-2016, 05:51 AM   #13
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Quote:
Originally Posted by Wills2 View Post
That's a good description of our Concur expense system at work....
You poor sod. I also use Concur and it is sooooo clunky!!!!!
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      01-10-2016, 09:26 AM   #14
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Quote:
Originally Posted by mssond
Yup, used the P87, so it's clear its for business mileage, I do get a car allowance but it is paid as part of my wages and taxed
So you get something paid in your wages? Is this an expense towards mileage claims? Your original post said you don't get paid anything.
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      01-10-2016, 10:04 AM   #15
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Quote:
Originally Posted by mssond View Post
I have just got one of those letters that makes me think WTF are you on about.

I use my F30 for work, it's a private car and I don't claim any mileage expenses. So I am allowed to claim back income tax on the 45p/25p rates, sent in my form about 8 months ago, they now write back to me with the following statement:

"I confirm that as your employer does not pay you any mileage allowance you are not entitled to claim any relief from HMRC"

Now is it just me? Or are they being super thick!
How can we expect anyone to pay the right tax when they don't know the rules themselves
Your employer needs to pay you a mileage allowance, but less than the standard 45p per mile for you to claim any tax back on it.

ie if your company pays you 30p per mile then you can claim tax relief on an additional 15p

http://www.litrg.org.uk/useful-links...ses-employment

http://www.cheapaccounting.co.uk/blo.../tag/hmrc-p87/

Last edited by AlfaM; 01-10-2016 at 10:38 AM..
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      01-10-2016, 11:06 AM   #16
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Quote:
Originally Posted by Wills2
Quote:
Originally Posted by Kal001 View Post
The system is designed to put up as many obstacles and hurdles in the hope you will give up and walk away
That's a good description of our Concur expense system at work....
I don't find concur too bad these days, probably as I've just got used to it through regular use. As an approver for a team of 8 I've got no choice! Biggest annoyance is that ours defaults lots of the boxes to things that are out of policy, like your line manager being present or that you don't have a receipt.
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      01-10-2016, 11:52 AM   #17
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That's the issue we have and on top of that so many ways to do the same thing but our finance team will only accept claims in a certain format so you only find out after 2 weeks that you gave them everything they needed but not quite in the right way so please re-submit.....
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      01-10-2016, 11:55 AM   #18
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Quote:
Originally Posted by Moonie View Post
Your employer needs to pay you a mileage allowance, but less than the standard 45p per mile for you to claim any tax back on it.

ie if your company pays you 30p per mile then you can claim tax relief on an additional 15p

http://www.litrg.org.uk/useful-links...ses-employment

http://www.cheapaccounting.co.uk/blo.../tag/hmrc-p87/
According to the HMRC website:
If your employer doesn’t pay you a mileage allowance you can claim the full approved amount of Mileage Allowance Relief.

If your employer pays you a mileage allowance but it is less than the approved amount, you can claim Mileage Allowance Relief on the difference

Since I don't receive any allowance, I should be able to claim it all
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      01-10-2016, 11:56 AM   #19
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Quote:
Originally Posted by Moonie View Post
Your employer needs to pay you a mileage allowance, but less than the standard 45p per mile for you to claim any tax back on it.

ie if your company pays you 30p per mile then you can claim tax relief on an additional 15p

http://www.litrg.org.uk/useful-links...ses-employment

http://www.cheapaccounting.co.uk/blo.../tag/hmrc-p87/
You can also claim if you don't get mileage, as long as the car was used for business purposes:

https://www.gov.uk/tax-relief-for-em...age-fuel-costs

Using your own vehicle

If you use your own vehicle for business, you may be able to claim ‘Mileage Allowance Relief’.

To work out how much tax relief you can claim, add up your business mileage for the tax year and multiply it by the approved mileage rates.

If your employer doesn’t pay you a mileage allowance you can claim the full approved amount of Mileage Allowance Relief.

If your employer pays you a mileage allowance but it is less than the approved amount, you can claim Mileage Allowance Relief on the difference.

If your employer pays you more than the approved amount you’ll have to pay tax on the difference.
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Last edited by Wills2; 01-10-2016 at 11:58 AM.. Reason: Ah beaten to it....
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      01-10-2016, 11:59 AM   #20
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Quote:
Originally Posted by russelldav View Post
So you get something paid in your wages? Is this an expense towards mileage claims? Your original post said you don't get paid anything.
If it's an expense payment, it should be tax free, or at least the business part of it is tax free, and let's say they do count the car allowance in my wages as the expense payment then how would you calculate the tax rebate for business mileage? I would suggest it's the wear/tear component of the 45p x Miles?
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      01-10-2016, 12:01 PM   #21
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Quote:
Originally Posted by Kal001 View Post
The system is designed to put up as many obstacles and hurdles in the hope you will give up and walk away

Has anyone else ever found they take ages to pick up the phone on the uk residents line however if you phone them on the overseas help line ( via a mobile) it's much quicker.
Ps if you phone via land line they'll refer to uk line.
Awesome tip! Will be using this tomorrow
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      01-10-2016, 12:05 PM   #22
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Quote:
Originally Posted by Wills2 View Post
You use the car for business purposes but your employer doesn't give you anything towards the fuel?
I do actually get a fuel card, but the company does not take away the business miles, they submit the entire cost of fuel for the year as a benefit, this means the employee has to submit a tax rebate for the fuel, add it to my calculation above, and hey presto. It's a bit of a stupid system, and I will be opting out next FY, just go to the 45p mile.
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