Expensing EV mileage UK

[browellm]

Really not sure where you think I was suggesting you claim 40% of 40%. I wasn't.

 

[GRiLLA]

They will, a car allowance from a HMRC perspective is just “pay”

The difference usually relates to pensions, life insurance etc. if an employer agrees to contribute 6% to a pension fund, this doesn’t include the car allowance or any other flexible benefit that can be taken as cash. Life insurance is usually linked to the base salary.

Yup, they can also say that you get a 3% pay rise without changing the car allowance. It's salary engineering that's to our detriment, when you are hired you consider it all salary, but they then ignore it for calculations of pension, bonus and pay rises to their benefit.

 

[yessuz]

If you claim for 40% of the 37p, as an expense, it will reduce your taxable income by that amount as that's how P87 and SA expense claims work.

You don't calculate the 40% yourself and claim that - because then it would be reduced again by 40%.

You should claim the expense in full and your income is then reduced, giving you the relief.

So
40% of £1000 = £400 relief
Or claiming 40% of the 40% = £160 relief

yes. only caveat you should keep records on your business mileage, your reimbursements and then supply this info on SA/P87. ballache.. but I have teslamate login it all so maybe... still need to ask finance to extract info from bloody concur

 

[McXtravert]

Just ask work to supply a hire or pool car for business travel - they will soon start to pay the going rate.

exactly what I did. Now paid at 45p.

 

[TimboUK]

Nope, as they would need a VAT receipt generated by the wall box.
I believe that your employer are being a little bit mardy.
We simply do the miles, enter into our expense portal and put a detailed claim through.
It does rely on the usual amount of transparency and honesty.
My employer did fully fund the wall charger.

Cheers Dave, mine wouldn't even pay for my Wall Connector, let alone the installation

 

[DaveNN]

yes. only caveat you should keep records on your business mileage, your reimbursements and then supply this info on SA/P87. ballache.. but I have teslamate login it all so maybe... still need to ask finance to extract info from bloody concur

Good old Concur

 

[TimboUK]

Ha, I hate Concur with a passion. Every update makes it harder to use and takes longer to do anything!

 

[yessuz]

exactly what I did. Now paid at 45p.

yeah... and then they come back to you waving company car / cash allowance policy saying "you opted to use your own car" and "make all necesery arrangements"

 

[Lockey]

Still slightly on topic, do you have to give receipts for your "fuel" to claim this with your company? In an argument at the moment with my employer who is insisting I have to put in receipts to them to claim the AER rate of 8p (although they are only currently paying 5p)? My understanding is that they do this with petrol and diesel to be able to reclaim the VAT, but I'm sure they cannot claim VAT on electric costs.

I have to submit some sort of fuel receipt for my EV business miles. If I've had to use a supercharger then I put in the Tesla receipt otherwise I have a pdf document that says something along the lines of no receipt available due to the type of EV charger used and the expenses robots are satisfied

I will be checking our EV mileage rate tomorrow to see if they've updated it (it was 6p/mile for car allowance last month), if not I'll be harassing HR to review the rate again and stirring up a bit of support in the EV Teams group.

 

[Stranger Dings]

I get 5p a mile. I now get the train everywhere at more cost and more inconvenience.

 

[yessuz]

I get 5p a mile. I now get the train everywhere at more cost and more inconvenience.

yeah... for long journeys (like midlands to scotland - I use trains and taxis. would be happy to drive at 45p a mile, but not now

 

[McXtravert]

yeah... and then they come back to you waving company car / cash allowance policy saying "you opted to use your own car" and "make all necesery arrangements"

I don't have a company car or allowance.

 

[Creft]

Hi, if anyone can help id be hugely grateful, iv seen a few similar threads but nothing that answers my query. I have recently picked up my model 3 (yay). It is my private car owned by me however, I do some business milage. Im the first at my company to have an EV and they dont no what to do.

I am aware i am entitled up to 45p per mile but after discussion earlier, work seem only willing to pay 8p per mile (I think they are getting confused with the rate for company owned cars but its a small company and them giving me 45p seems unlikely) - although they are also happy to pay supercharger costs with receipts if I deduct this milage from the rest of the claim.

I have a home charger and will always leave for trips on a full battery but when i go on a work trip, due to distance il need to supercharge on way and on the way back.

Is there a way of me being able to expense the supercharger costs immediately and then put in milage claims on the rest? Im thinking it would get quite complicated as Id be in effect receiving two rates.

Am I better just recording milage, accepting the 8p per mile rate from employer and claiming 37p back per mile from HMRC? I dont usually complete a tax return but it looks relatively simple if im not claiming above £2500.

I'm in a similar boat. My model 3 is a company car and I claim all work miles back at rate of 8p/mile. Not enough when using superchargers clearly. In order to claim back any extra via HMRC will I have to wait til the end of every tax year or can I claim every month? Cheers.

 

[btc1k]

I'm in a similar boat. My model 3 is a company car and I claim all work miles back at rate of 8p/mile. Not enough when using superchargers clearly. In order to claim back any extra via HMRC will I have to wait til the end of every tax year or can I claim every month? Cheers.

The 8p is the AER for company cars. The 45p is AMAP for a privately owned vehicle.

Have you discussed with the company, the option of reimbursement of actual costs, as opposed to the AER?

 

[Jason71]

I'm in a similar boat. My model 3 is a company car and I claim all work miles back at rate of 8p/mile. Not enough when using superchargers clearly. In order to claim back any extra via HMRC will I have to wait til the end of every tax year or can I claim every month? Cheers.

you would not be able to "claim back the rest" via HMRC all you could claim potentially is tax relief on the money you spent. If you want the actual money back you will have to negotiate with your employer for that.

 

[TimboUK]

I'm in a similar boat. My model 3 is a company car and I claim all work miles back at rate of 8p/mile. Not enough when using superchargers clearly. In order to claim back any extra via HMRC will I have to wait til the end of every tax year or can I claim every month? Cheers.

I'm similar, company car, but they are still paying the old AER rate of 5p . I am sure that when I looked into it you cannot claim anything else back with this scenario. Will happily be wrong though!

 

[Jason71]

I'm similar, company car, but they are still paying the old AER rate of 5p . I am sure that when I looked into it you cannot claim anything else back with this scenario. Will happily be wrong though!

The 8p is just an advisory rate that, if used, will not be challenged by HMRC or require any real evidence.
If you are genuinely spending more than 8p a mile then there is no legal reason why your company cannot fully reimburse you for your costs either via a higher mileage rate OR compensation for actually charging costs but you will have to be able to provide receipts etc to prove these were genuine expenses if and when HMRC come knocking. Most employers don't want the extra expense or the hassle so will be reticent to agree to any such arrangement. And why would they if they can get away with having their employees subsidise the companies travel costs.

 

[spooksman]

The 8p is just an advisory rate that, if used, will not be challenged by HMRC or require any real evidence.
If you are genuinely spending more than 8p a mile then there is no legal reason why your company cannot fully reimburse you for your costs either via a higher mileage rate OR compensation for actually charging costs but you will have to be able to provide receipts etc to prove these were genuine expenses if and when HMRC come knocking. Most employers don't want the extra expense or the hassle so will be reticent to agree to any such arrangement. And why would they if they can get away with having their employees subsidise the companies travel costs.

^^^ Totally this...

Just for clarity, your company can pay you whatever they want for your mileage, its just that anything over 8p per mile will be taxable. You could go 'receipt based' if your company will agree, but as @Jason71 said, I would expect them to push back. The rates they will pay are normally part of the published travel & expense procedure, which are likely linked to your terms & conditions of employment.

 

[browellm]

Just for clarity, your company can pay you whatever they want for your mileage, its just that anything over 8p per mile will be taxable.

Well for private car users, it's above the AMAP rates of 45/25p that are taxable, but the general principle that your company can pay you anything is correct.

 

[TimboUK]

^^^ Totally this...

Just for clarity, your company can pay you whatever they want for your mileage, its just that anything over 8p per mile will be taxable. You could go 'receipt based' if your company will agree, but as @Jason71 said, I would expect them to push back. The rates they will pay are normally part of the published travel & expense procedure, which are likely linked to your terms & conditions of employment.

Yep. That's exactly our policy. They will only pay the HMRC rates for diesel, petrol and electric. Up to us to choose a vehicle from the list that fits the needed mpg etc. Although they are still only paying 5p rate for electric, but that's a different argument