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Business founders/entrepreneurs

Simplified expenses or capital allowance for new van?

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ShouldIStay0rShouldIG0 · 27/03/2025 13:27

Hoping for some advice please!

I am a sole trader and for the last few years have claimed simplified expenses for my mileage etc. I am just in the process of buying a new (second-hand) van and I'm not sure if I should continue using simplified expenses or use this opportunity to switch to capital allowances? I have used the gov.uk simplified expenses checker and it says I'd be better off using simplified expenses but I'm not really sure why! Up until this point I have done my own self-assessment as it's a small business with relatively few outgoings so this is all new to me.

I do roughly 6,000 miles a year and the van I am buying is £7,000.

Thank you!

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