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stokesey
23rd June 2011, 09:40
Hi, I am about to embark on becoming a contractor and wanted to get the expenses side of things clear.
I am getting many different answers to this question.
Can I claim milage allowance on using my own car, travelling from home to work and back?
Details - journey is 100 a day. I will be travelling to the same location every day, with the occasional extra trip in the day (this would be xtra on the 100)
I am already working at the same place as a permanant employee of a service provider company, so would leave on the Friday and start again on the Monday as a contractor.
Hope somebody can clarify, I get different answers from all the contractors working around me.

kaiser78
23rd June 2011, 11:20
You can claim 45p per mile for the first 10k miles and then 25p per mile for a car in any financial year.

HM Revenue & Customs: Travel - mileage and fuel allowances (http://www.hmrc.gov.uk/rates/travel.htm)

northernladuk
23rd June 2011, 11:27
Hi, I am about to embark on becoming a contractor and wanted to get the expenses side of things clear.
I am getting many different answers to this question.
Can I claim milage allowance on using my own car, travelling from home to work and back?
Details - journey is 100 a day. I will be travelling to the same location every day, with the occasional extra trip in the day (this would be xtra on the 100)
I am already working at the same place as a permanant employee of a service provider company, so would leave on the Friday and start again on the Monday as a contractor.
Hope somebody can clarify, I get different answers from all the contractors working around me.

THere are many other aspects of expenses you might want to read up about, not just what you can and can't claim but also how to claim it. Use the advanced search in the accounts section using the word 'expenses' and you will find a lot of discussion on many different elements such as phone, home office, works does etc. There are also links on the right to Contractor Expenses. Might even be worth getting an accountant to clarrify them. Could end up saving you a bob or two.

You haven't mentioned it but I would read up very carefully on IR35 in your position. Often leaving full time and coming back as contractor will put you inside IR35 so will change your taxation considerable. There are many links to it on the right and around the web.

BolshieBastard
23rd June 2011, 19:59
Hi, I am about to embark on becoming a contractor and wanted to get the expenses side of things clear.
I am getting many different answers to this question.
Can I claim milage allowance on using my own car, travelling from home to work and back?
Details - journey is 100 a day. I will be travelling to the same location every day, with the occasional extra trip in the day (this would be xtra on the 100)
I am already working at the same place as a permanant employee of a service provider company, so would leave on the Friday and start again on the Monday as a contractor.
Hope somebody can clarify, I get different answers from all the contractors working around me.

Thanks for IR35 and all that!

Wanderer
23rd June 2011, 23:40
You can claim 45p per mile for the first 10k miles and then 25p per mile for a car in any financial year.

But see also the "two year rule" if you are working as a contractor at the same site for years.

xoggoth
24th June 2011, 14:59
Best HMRC link

HM Revenue & Customs: Expenses and benefits A to Z (http://www.hmrc.gov.uk/paye/exb/a-z/a/)