Claim back tax from Home to Duty Travel

[jamesman]

All,

Not sure if this is the right forum, but I am unaware if this is commonly known practice.

One of the WOs working for me has just received back £1000+ from HMIT/HMRC or whatever they are called nowadays....better known as The Nasty Taxman'. This from only a 3 year period.

As a non Home to Duty claimer, I cannot do it myself, but he has sent me the paperwork he used (not through PSF I hasten to add!) and lo and behold a shiny cheque was quickly forthcoming. It was all surprisingly easy.

Happy to pass on the paperwork he used either centrally or you can PM me. Not to say of course that following todays admission of usual Govt fallibility that they won't c**k up with their figures!

Not sure if anybody else does this as the norm and I am an admin void!

Jamesman

[Kitbag]

Thanks James, this comes up regularly, and a good thing too, 'cos the P Staffs are often reluctant to tell people about it.
I think there is a time limit on how far back you can go.

[jamesman]

Kitbag,

The time limit is apparently 6 years.

jamesman

[Jumping_Jack]

My understanding is that you can't claim this for Home to Duty, only for mileage when undertaking duties away from your parent unit ie you can't claim for your daily commute to work.

[whowhenwhy]

Jamesman, many thanks for the offer, I wasn't aware of this. Can I take you up on your offer of the pm please? As an aside, although this has bedn discussed before, if anyone's interested I've just written to the HMRC to seek confirmation over the tax relief status over Mess subscriptions. I can update anyone interested once I get an answer.

[geezerBJ]

Any chance you could post the details of how to claim on the thread here - otherwise you might be inundated with PM's !

I am happy to receive a PM with the details if you prefer to do it that way.

Thanks for the heads up !!

BJ

[critter sized]

Jamesman

Can you put it up for general consumption please.

Regards

Critter

[Whenurhappy]

Yes - you can only get tax relief for mileage when using your car for official journies - ie from place of work to another place of work, but not commuting. About 12 years ago I was working from home and had to persuade Inland Revenue that I did work from home for some of the journies. I was in quarters at (former RAF) Wroughton and used to drive directly to meetings in teh SW and Wales, rather than go into Strike Command, as was. Doesn't cover sporting or medical mileage.

[On_Loan]

Not true - you can claim relief on home to duty if you are in a temporary assignment (less than 2 years according to HMRC) So if you work somewhere for a year, deploy for 6 months afterwards then back for 18 months - 3 temporary assignments according to the rules.... trust me - it works

[The Old Fat One]

Tread Carefully

***disclaimer not current in HM tax knowledge***


You can (could) claim the difference between your mileage rate and the official HMRC mileage rate as tax relief for official duty journeys. This is not an HM forces thing..it applies to very working person in the UK.

Home to Duty does not (did not!) count. Your journey to and from your place of work (whoever you are in the UK) cannot (should not) be used to claim this tax relief. Nor should things the RAF consider "duty" (sports, medical trips) but HMRC does not consider "duty".

That does no mean you can't submit these excluded journeys, get them paid, and never hear about them again.

However, if you are one of the random percent that get audited (within six years) welcome to a nauseating amount of paperwork trying to untangle the "duty" from the "HMRC-don't-count-that-as-duty-whatever- your-SHQ-says".

Been there, done that.

More than happy to be corrected on any of the above...anyway, if you are in any doubt, get you guidance from HMRC, not SHQ!

Edited to add to the post above..."normal place of residence to normal place of work" is what we call home to duty and everybody else calls the daily commute. So yes, the example in the post above probably is OK.

Same advice, if in doubt, check with HMRC.

[The Oberon]

The Mess bill argument always used to annoy me when I was in. I tried to argue that as union dues could be claimed in the civvy world, especially in a closed shop environment, then the same situation existed as far as mess bills. Being a member, and paying, was part of the job. I never managed to convince HMRCS though.

[Evalu8ter]

Claimed for the last 6 years.

1. It has to be duty mileage - not sports, medical or training.
2. You need to be a Top Rate Tax Payer.
3. You can include it as part of your tax return.
4. If not, the form is a P87 - available from the HMRC web site, complete with the guidance.
5. You may be requested to provide details of each and every journey you use your own car (date, travel to/from, reason, mileage, reimbursement received through JPA).

Hope this helps!

[Sloppy Link]

Am with Evalu8ter, went down this route a while ago. The daily commute does not count (HTD) but were you to attend a duty at a different place of work (short course at nearby unit where permission to live out had been granted, a meeting at another station etc.) and you used your own car/motorbike then you can claim the difference between the tax on 25p per mile opposed to the HMRC rate of 40p per mile. The same applies before anyone asks regards GYH rates when living married unaccompanied.
I think the key is both GYH and HTD are a daily rate that is paid whether you make the journey or not whereas MMA @ PCR is only paid for a specific journies as they happen.
Of course, there is nothing to stop you claiming with HMRC and they may well pay you a rebate but if they audit you and you are found wanting, stand by, they can make your life very uncomfortable for many years to come.

SL

[Widger]

Sloppy link got in before me. you CANNOT claim for HTD. You could argue that GYH is valid Temporary place of work) but, if you spend 1 day over two years in post, then you will be liable to pay the whole lot back. Look very carefully at the rules on the HMRC website.

[jamesman]

Folks,

Apologies, I am having some difficulties in attaching the docs my fella used. I have PM'd a couple of people with the docs. Sadly I am not a PSF/allowances guru, but I am happy to spread any allowance news not normally broadcast to the masses!

If I can manage to attach the documents, will happily do so for all, then try and work out the minutae!

jamesman

[Sven Sixtoo]

On one point Evalu8r is rwong. It applies to any rate of tax. Of course if you don't pay tax there is nothing to claim back, but you are entitled to the tax back on the difference between what the company pays you to use your car for its purposes (25p a mile last time I was entitled) and what HMRC will allow as an expense (40p a mile). That's 23% of 15p a mile at std rate and 40% of 15p a mile at higher rate tax.

Sven

Still looking for a proper job

[Pontius Navigator]

For this tax year a benificent Treasury has increased the car allowance to 63p.

Regarding not being able to claim for training, I claimed for any journey for which I got the lower rate PMA. I was audited when the rukes first changed and the rate for large cars was 63p. I had just bought a 2.5l car and done considerable mileage on resettlement. The Inland Revenue allowed all the claims.

Your mileage claim can also cover the journey actually made and not the journey paid by JPA. For instance an authorised journey and allowance for 100 miles claimed. Route actually used - traffic - faster - got lost - etc 120. You can claim the 100x40 - 100x25 plus 20x40.

One final wrinkle, Mrs drives you to the airport and drives home - you can claim the total mileage and not the one-way. I have also claimed (unchallenged) for the same return journeys to rail stations. You can claim (or you could) 3-years on unit and up to 6 years but needed to get the records from archives if you have never claimed the double journey.

I got that tip from a very nice lady at ISL, the complete opposite of her counterpart at ISK. Check QRs carefully; amazing what you can find.

[Whenurhappy]

When I was posted to Germany, I claimed my UK- GE journey because mileage inside die Vaterland is not paid by the MOD, on the basis that LOA included an element to sell your car/buy your car when you step off the Trooper (I kid you not - although this has just be dropped out of the LOA). HMRC accepted it and paid it.

[SAMXXV]

The Oberon said:

"The Mess bill argument always used to annoy me when I was in. I tried to argue that as union dues could be claimed in the civvy world, especially in a closed shop environment, then the same situation existed as far as mess bills. Being a member, and paying, was part of the job. I never managed to convince HMRCS though."

I set the precedent that you want in 1992. I got the Child Support Agency to discount some £50 of my monthly income (mess bills) & a further portion (can't remember how much) in uniform maintenance before their hilarious (ludicrous) maintenance demands. These were accepted by the CSA as neccesary costs of the job.

I actually incurred the wrath of MOD, with telephone calls from two (very) senior officers from PMC Innsworth, threatening me with all sorts of financial penalties & possible loss of pension after I was subject to an hour long documentary by "World in Action" & went on a 30 minute TV programme with the "orange one". Needless to say, at the time I was under extreme financial stress, coping with a divorce, loss of my house through the courts & ending up with nothing.

What was of interest was the differing attitudes of two Stn Cdr's. The Stn Cdr of Coningsby (F3's) supported me, as did my lovely OC Ops Wg. RAF Marham (World in Action) refused any co-operation - yet for the next 3 years (until my enforced retirement at 38/16 for daring to upset MOD) the station PSF referred EVERY CSA enquiry of any rank to me......

You will gather that I am not aircrew. I spent many years on Bloodhound SAM's then 7 years in Laarbruch/Coningsby/Marham WOC/COC's managing the BRAMIS/SOMA computer systems.

The fact is, if you don't fight HMRC/CSA etc for your rights then you don't deserve a rebate......

Don't let the b*****s get you down. Get even.:E

[Widger]

The rules are here: Travel expenses: travel for necessary attendance: table of contents (http://www.hmrc.gov.uk/manuals/eimanual/EIM32000.htm)

Daily travel to work (Home to Duty) is NOT tax deductable.

When a person 'weekends it' and is in receipt of Get You Home', then the rules for tax deduction COULD apply. There are plenty of ifs and buts and all factors apply.

The test is whether the employee has spent, or is likely to spend, 40% or more of his or her working time at that particular workplace over a period that lasts, or is likely to last, more than 24 months. Where that is the case the workplace is not a temporary workplace and so it is a permanent workplace. Travel between that place and home will be ordinary commuting and so is not deductible.

So ensure that you spend less than 24 months in any post or you will not be able to claim under temporary workplace rules. 1 month extra and you will have to pay all the money back. Travel to courses, duty etc, IS deductable if you use your own car provided it is insured for business purposes. The link above provides a whole host of detail which needs to be read very carefully. You can indeed get deductions but if you get it wrong, you will end up with a big tax bill.

Good luck

[snowball1]

How would it work if you claimed tax back but you did not have business insurance for your car, so therefore not authorised to use your car.

[The Old Fat One]

How would it work if you claimed tax back but you did not have business insurance for your car, so therefore not authorised to use your car.


I doubt HMRC would care and as far as the RAF in concerned you would have to check QRs to see what if any regs you had busted. Hardly something they are going to find out...and easily rectified because getting "business use" on you car insurance is normally free of charge and just a phone call. I say normally because just a few years back all car insurance companies provided this for free...just recently when I did it for a new motor, my existing company wanted paying for it. I told them to bugger off and went elsewhere.