Mileage attracting tax and national insurance

[NotmylastRolo]

Can anyone help please?

Tax and national insurance have been deducted every week from my mileage reimbursement. Is this right? The reimbursement is at 20p per mile for miles I actually do in my own car. Is that why tax and ni are being charged to me?

If you own your own car up to 45p per mile for the first ten thousand and 25p per mile after that is exempt from tax. Under the HMRC mileage and fuel allowances. If you are paid less than this you can claim back tax to account for the difference.
Payment for mileage should be made separate to your salary/ wages I suspect they are lumping it all together. This page gives you the information and links to other advice.

Do you get a car allowance with your salary to enable you to use the car for work , if so the threshold per mile is lower.

Thanks for your responses.

I use my own car and petrol. I would not have got the job without it!

I am given a round of about 10 customers to visit for half hour each and can clock up around 20 miles per round using my own car and my own petrol. I get an amount per visit on my salary slip and a second entry showing the allowance for mileage against each customer.

Example:
Mrs Jones - half hour call - £4.25

Mrs Jones - mileage 2 miles - £0.40

Tax and national insurance is deducted from the call and from the mileage reimbursement as the payment advice lumps it all together as taxable.

20p a mile is very stingy indeed IMO.

And no, you should not be taxed on it at that level.