Mileage Records

For those affected by self-assessment and who also claim motor expenses against taxable income or do not have a company car, the mileage log is an essential record. The log should show dates, destinations, miles travelled for business journeys and the reason for the trip.

For the self-employed this determines what percentage of motor expenses are for business and what are private. For employees (including directors) it will support a claim to statutory mileage. The current rates for business miles travelled are:-

40p per mile for the first 10,000 miles travelled in a tax year.
25p per mile thereafter.

If the business reclaims VAT on the mileage element of the rates paid above, VAT invoices must be kept to support the claim.