A Few Tips for General Mileage Expenses

Accurate mileage expenses are important, if for any reason you are estimating your mileage you may be over or under claiming. Under claiming means less money in your pocket and over claiming leaves you open to inspection from HMRC.

For a claim to be accurate, you should have the date travelled, start and end addresses, the actual mileage, and be sure to be using the correct mileage rate.

There are a number of different mileage rates available to use:

  • Advisory Fuel Rates (AFR) are normally used by company car drivers provided with a car or cash allowance;
  • Authorised Mileage Allowance Payments (AMAP) are normally claimed by drivers driving their own car on company business. These are currently 45p for the first 10,000 business miles and 25p per business mile thereafter in the tax year.

To ensure your claims are compliant it makes sense to have an approval process in place.

Obtain and submit genuine receipts for each month’s claim and check that they are for the correct period.

Raminta