CSparkes
Senior Member
Not sure if many of you are aware of a good little tax saving tip. The 40p per mile cost to you!
If your car is a personal car and you use to get to clients/buisness and is therefore used for "business" aslong as this place is not commuting miles. I.e your house to your workplace then you can claim 40p per miles upto 10,000 miles and then 25p per mile afterwards as a cost to you.
So if you do 1000 miles per year as a freelancer, it reduces your profit by £400 therefore you don't pay tax on that £400.
It can be quite handy if you are using your private car for your work!
If your car is a personal car and you use to get to clients/buisness and is therefore used for "business" aslong as this place is not commuting miles. I.e your house to your workplace then you can claim 40p per miles upto 10,000 miles and then 25p per mile afterwards as a cost to you.
So if you do 1000 miles per year as a freelancer, it reduces your profit by £400 therefore you don't pay tax on that £400.
It can be quite handy if you are using your private car for your work!