Forum

• # 73245
• Wed 27 Jul 2011 08:35 PM

Hi all,

I asked a while back a similar question but am still confused about the mileage system versus actual cost.

I have a partnership who use  van purely for business, They claim actual costs on this.
They also occaisionally use their own vehicles for business and I believe it would be more straight forward to use the mileage system rather than apportioning all costs for private/business use and writing the cars into the accounts.
Can I do this or is the consistancy rule for all cars or for each car?

Also if mileage is claimed( different scenario) can you still claim cap allowances?

Many thanks

:-)

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• # 73349
• Mon 01 Aug 2011 08:19 AM

Hi Karen

As your client is trading as a partnership they are in a postition to claim actual costs for running their cars as they are used for business use.


If you claiim the actual costs then if they are VAT registered they will have to pay fuel scale charge to cover the VAT on the personal useage.

I would still use a mileage reister to apportion the the private / business use of the actual costs.

Charge the business amount to the P&L and private element to the partners current account.

Kind regards
Stuart

• Forum Moderator, South East & Greater London Regional Chairman
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