View Full Version : Fuel Card - Private Vehicle
STUCKINTHEMIDDLE
3rd March 2010, 12:32
Can I issue someone with a fuel card if they are using their own vehicle?
Or should I pay them 40p per mile for the first 10k as a separate expenses payment and then issue a P11D?
I know that in either case they would have to submit mileage records for both business and private miles, any suggestions would be appreciated?
Bit confused I'm afraid! :|
yorkshirejames
4th March 2010, 11:42
No reason why you can't.
Do you intend to pay for their private mileage, or just their company mileage?
KDMINX
4th March 2010, 19:36
You can do what you like but please be aware of Tax implications for you, your business, and your employee.
It would be very unusual to provide a fuel card to be used for a non company vehicle.
A lot of companies pay advisory rates:
http://www.hmrc.gov.uk/cars/advisory_fuel_current.htm
that covers fuel and the employee can get tax relief on some of their salary.
Some (generous) companies pay 40/25...
David Griffiths
4th March 2010, 20:14
No reason that you can't issue a fuel card, provided that the amount that they spend is equal to or less than the 40p per mile.
So if they do a 30 mile round trip (£12) and put in £10 of petrol, no problem. You can even make up the £2 in cash
What you can't do, in my opinion, is claim the VAT on the whole £12 of petrol - just the amount based on the authorised fuel rate for 30 miles.