Petrol allowance for UK tax payers running a company Rex

[pastyboy]

Have any of you UK Rex owners bought it through your company to benefit from the 100% first year write down? If so, how are you going to claim the cost of "fuel" from the tax man. At present, if you run a company car without company fuel you can claim 13p per mile for a diesel or 14p for a petrol vehicle for the fuel used. There is no allowance for an EV. My accountant suggested getting the company to provide the fuel and paying the BIK, but as I will charge from home (hopefully it arrives in the first week of September) and cannot monitor the cost of the electric being put into the batteries I cannot establish a cost to the company. As the Rex runs on petrol I am tempted to just claim 14p per mile until someone in the tax office comes up with an answer, which will probably be a derogatory amount that does not reflect the cost of running an essential vehicle.

 

[jackt]

See https://speakev.com/threads/ev-company-cars.3165/#post-32921

 

[BoMW]

Have any of you UK Rex owners bought it through your company to benefit from the 100% first year write down? If so, how are you going to claim the cost of "fuel" from the tax man. At present, if you run a company car without company fuel you can claim 13p per mile for a diesel or 14p for a petrol vehicle for the fuel used. There is no allowance for an EV. My accountant suggested getting the company to provide the fuel and paying the BIK, but as I will charge from home (hopefully it arrives in the first week of September) and cannot monitor the cost of the electric being put into the batteries I cannot establish a cost to the company. As the Rex runs on petrol I am tempted to just claim 14p per mile until someone in the tax office comes up with an answer, which will probably be a derogatory amount that does not reflect the cost of running an essential vehicle.

I have bought this through my company and have decided to use it for company business only, no personal usage. I intend to reclaim the vat, 100% write down, all accessories and chargestation memberships, petrol receipts coming out of the company.

 

[pastyboy]

Many thanks for the replies, but nobody seems to have an answer to what I can charge as a mileage rate when I charge from home without a meter to show what is being put into the car. That is a cost to me and should be tax deductible. HMRC are taking a cop-out by saying it is not a fuel, as well as being wrong. According to the dictionary fuel is a substance used to provide heat or power. The electricity in the i3 provides power. As I have a petrol Rex I will charge for a petrol car on my mileage, even though hopefully most of it will be done on electric.

 

[jadnashuanh]

Good luck with your tax people! In the USA, the tax code allows a certain amount per mile driven, regardless of what it may cost you. This accounts for fuel, maintenance, depreciation, and wear items, like tires and brakes. You can use actual costs, but most people (I think) find that the per mile allowance is easier, especially if you also use the vehicle for personal use. THen, you must maintain a logbook, should you ever get audited.

 

[nowtta60]

Thought I'd add to this. Clipped this from anthoer post I made earlier today... Sure someone will land here direct from google 1 day, so helpful to have an answer

http://www.hmrc.gov.uk/cars/advisory_fuel_current.htm

Link above says Hybrids are treated as petrol or diesel for purposes of the calculation. .But then...

http://www.hmrc.gov.uk/manuals/eimanual/EIM23900.htm says you don't get a mileage allowance for electirc - as its not a fuel.

I think the best think is to keep a track of how much you use the REX and only stick in a claim for journeys where the distance is over the battery range. I've got a 160 mile drive to my client site, stay there for 2 weeks and come back for the weekend. So I definetely need to be getting something for fuel.

Additional thoughts since then...

Do you run the rex first to use up the fuel? And see if you can the rest of the way on battery. Depends on distance to destination!

Do you use all the juice up first to 25% then let the rex take over, and risk going to cripple mode if trying to keep up with motorway traffic (on the hilly section at the bottom of the M3 between Wincehster and Southampton).

Top up when you get there / as you go along and and work out fuel used? Bit pants if you only need 1 litre as you went just beyond EV range.

You could be nice to Asthma sufferes and use REX out of city and EV mode in city and/or once you know you are close enough to complete the journey on EV.

Can anyone answer the following question... does the i3 have a trip meter so you can record the journey distance on REX and pure EV separately? Now that would be handy!

Have a look at my first thread if you want more info on buying thru a company. But check with your accountant as its 2014 as a write this ;-)

 

[nowtta60]

Just answered one of the questions fromanother thread where the official BMW guidance was posted...

If you know you are drving further than the batter will allow - stick the REX on to start at 7% SOC. The nav will let you know when you are with EV range of the detination.

Not in USA though. Stupid really - isn't the smog in LA really bad. So you could come in from Phoenix and Yuma on the interstate using the REX, keep the charge up for those big hills, and then pop back to EV for the last 50 miles (downhill). Instead you'll be sitting at the traffic lights spewing out NOx and partculates, just where you don't want them. Legislation eh! Luckily I live in UK, anad I thought we had a nanny state and US was land of the free. Ooops.

I did a stint working out in Phoenix so know that drive well. Plus the run up to Grand Canyon

 

[amateurish]

Personally if using a Rex I would claim the 14p / mile AMAP on the basis that it is a hybrid car.

 

[pastyboy]

Personally if using a Rex I would claim the 14p / mile AMAP on the basis that it is a hybrid car.

I agree - it is not our fault that HMRC have failed to come up with a figure. I am sure they will invent a different way of fleecing us of it in due course.