CM -confused about expenses re cars

[Ilovebagsandbruuuce]

As you'll probably be able to tell, I'm totally new to childminding/being self employed!

I've just bought a 2nd hand 7 seater for my new childminding business. I've been trying to work out what I can claim as expenses re the purchase of the car and mileage. I have found the hmrc leaflet but even though i've read it, i'm still none the wiser.

Wha do all you childminders do??? Any enlightenment gratefully received - thank you

I don't know if the rules have changed but it used to be that you could choose to either claim mileage (40p p/m) or for direct car costs/expenses but not both. If you claim milage you can do small business turnover 3 line accounts which is the way most CM's work. If you claim car costs (inc petrol) instead its full accounts.
The 40p p/m is supposed to cover petrol, servicing, mot, wear & tear/repairs etc

Hopefully someone more savvy & financially minded will come on here & give you more info but you can also ring the tax office, they are very helpful, and check out NCMA website too.

yes childrenatheart still the same
a) percenage of cost of car
or
b) 40p per mile for ever

its prob better to claim the 40p per mile

you can also claim % of insurance as you will have business insurance on the car

Are you saying that you have bought it for childminding only and you will never drive it for anything other than childinding.
If you are then it can be put down as a capital allowance I think its 40% in the first year then 25% in the second not sure about third.
If you plan to use your car for personal then you have to work out the % used.
You can not claim for petrol used if you claim capital allowance.But that includes servicing etc.

capital allowance has been scrapped now has been for a yr or so

i think if op has got the car just for cm its the same as me getting a job x miles away so i need a car and buying one to get to my job dont think boss would buy it for me

Didn't know it was scrapped, I've always done the mileage which I think is about time went up considering petrol prices have gone up SIGNIFICANTLY in the time we've had this rate!!!!

Dmo - I wouldn't say it's the same as having a job though as you don't NEED a car and could travel by public transport. I would say it's a legitimate business expense as it's something most of us do NEED for getting so many children safely out and about (obviously depending on location but I couldn't be without mine with the kids I have!)

oh dear, i bought a second hand car specifically for childminding and was going to put the whole thing down as an expence!!£5500

someone please tell me i can do that!!?

No you can't do that, sorry.

Here is some more information about Capital Allowances for cars.

It is almost always better, and always easier, to claim the 40p per mile (for the first 10,000 miles, then 25p).

Dan, Capital Allowances for cars are at much lower rates than that, see the info linked to in the last message.

its all quite confusing,these example's of mr p bought a car for x amount and claimed his wda.......im really confused,why cant it just state the amounts or plain percentages of moneys spent eg spend £10,000 claim 20% so on???? any help would be grateful,i bought mine for £5500 and use solely for childminding? any ideas how much i could claim?

Unfortunately that's not how it works. But with answers to a few questions we can get close...

How many miles are you going to do for business purposes?

How many miles for private purposes (you say none and as a childminder there is presumably no home-to-work travel).

Is it a new, unused car with CO2 emissions of 110g/km or less? (No, it is second hand)

Does the car have CO2 emissions of 160g/km or less?

I went to an expenses workshop run by HMRC and the tutor at the front went through it in great detail.

Maybe contact the self-employed department and they tell you when the next workshop in your area is.
Or if you go to your local tax office, some of them really help go through things. Probably best to avoid going near Jan 31st because they get so busy. Good luck.