Hi everyone, after a rather nasty tax bill that my DH received I am now feeling rather paranoid. I am due to start using a hire car 4 days a week for the company that I work for. It will go on hire on a Monday, off hire on a Thursday, probably for around 35 weeks per year. Will I have a personal tax liability?
If you travel from home to your office that will be classed as private mileage - if you're only driving to places that are not a permanent workplace then it's business mileage. Only mentioning this because the definition of what counts as private is not always straightforward
Yes, I work from home (and am intending to double check my contract states that), so 2 days will be for travel to head office and other 2 days are site visits. Am I correct in thinking that as long as my place of work is home then that is OK? Thanks for your quick responses by the way. Both me and DH really appreciate it, certainly could do without more nasty surprises courtesy of HMRC.
Up until now 3 days a week, come march I will continue 2 days at head office and then do a local visit to a customer 2 days per week. Around 30 miles from me so probably 2 hours out and then back at home for the rest of the day. That said if there is any tax implication whatsoever I will quite happily tell my employer that I will not be doing the latter!
If you travel to head office twice a week every week it probably will count as normal place of work for mileage/tax purposes, even if your contract stipulates your home (or another office) as main place of work. That's outside your employer's control, but basically an HMRC rule.