What are the rules for claiming mileage?

The rules for claiming business travel mileage set out by HMRC include keeping detailed logs of trips, using standard rates per mile and maintaining records.

Here are some of the best ways for businesses to claim mileage:

HMRC Approved Mileage Rates

Utilise the HMRC-approved mileage rates to claim for business-related travel without the need for fuel receipts.

Mileage Tracking Apps

Use mobile applications specifically designed for tracking mileage, which can automatically log trips and calculate claims.

Expense Management Software

Implement software that streamlines expense reporting and allows for easy mileage tracking and submission.

Telematics Systems

Install telematics in vehicles to automatically track mileage, generate reports, and simplify the claims process.

Spreadsheets

Maintain a detailed spreadsheet that records trip details, including date, purpose, distance, and route, to support claims.

Manual Logs

Keep a physical logbook in vehicles to record each trip, which can be referred to when submitting mileage claims.

Fuel Card Reporting

If using fuel cards, leverage detailed transaction reports to help track mileage associated with fuel purchases.

Regular Audits

Conduct regular audits of mileage claims to ensure compliance with HMRC regulations and verify accuracy.

Clear Company Policies

Establish clear internal policies for mileage claims, outlining what qualifies as business mileage and how employees should submit claims.

By employing these methods, businesses can effectively manage and claim mileage while ensuring compliance with regulations.