[Closed] Bin it or...?

Thought it was .45p per mile?

[url= http://www.hmrc.gov.uk/rates/travel.htm ]http://www.hmrc.gov.uk/rates/travel.htm[/url]

If you are talking about having a loan to cover a car that'll mildly improve your mpg, then yeah, seems like you might as well stick with the Beemer, especially if it is a car you like 🙂

Google "mileage allowance relief" and therein lies your answer

lpg??

Keep it until you get a big bill, then think again. You've got to spend a lot on petrol to make up the difference.

CaptainSlow - Member
Google "mileage allowance relief" and therein lies your answer

Blimey I never knew about this - so I can get tax relief on my mileage payments, tax insurance etc?

You've got to spend a lot on petrol to make up the difference (for a monthly loan payment).

For those questioning the 20p per mile rather than 45p - its because I also get a car allowance. I don't know the details of the company scheme but it has been tested by other employees and proven correct.

TBH the mileage allowance relief think is the clincher I reckon.

IIRC you can back date MAR 7 years if you have good records.

That'll be a virtual pint you owe me then 😉

I have not got the issue of millage allowances to take into consideration. But I have done the Maths a few times on replacing my current petrol gas guzzler with something more efficient and nicer.

But I would have to do a huge amount of miles ( much more than i actually do) before I would be saving money. So I have stuck with the paid for Gas guzzler, for now.

I made up a quick spreadsheet to work it out and was quite surprised at the figures.

One thing to note though is that after the first year of claiming the mileage allowance relief it will be added to your tax code for the following year so in theory the adjustment will be smaller.

If you do 12000 claimable miles for work then you will be able to claim back the tax you pay on £2600.

I have a company car/allowance scheme. For me if my car costs 50p/mile to run (including insurance, tax, depreciation etc) then 10k miles is the cutoff point above which its worth getting a company car. Chances are your car is costing you much less than 50p/mile to run because you don't have much more value to lose in depreciation. Obviously that depends on your remuneration for the car allowance.

Yes, well simply put if you had a £150 per month loan you have to be paying more than £150 per month in extra fuel / repair bills on the old car to justify it. Thats er, roughly 900 miles a month for me before I'm equally the cost of buying a new car.

And thats without such things as residual value into the equation.

If you do 12000 claimable miles for work then you will be able to claim back the tax you pay on £2600.

Even taking into account the 20p per mile I'm paid by the company?

You'll be lucky to get £2500 for a 330 saloon unless it's mint and has all the extras. I just sold my 52 plate 330ci Sport which was pretty damn tidy (not immaculate, but no rust/marks) with 119k for £2600. Only one person came to look in 3 weeks. Nobody wants these cars at the moment.

Plenty of jokers offering £1850 etc. on ebay though.

Indeed doosuk - same issue for me despite they are less costly than people think.

And btw - when do I claim this - as per self assessment (ie January)?

Even taking into account the 20p per mile I'm paid by the company?

You claim tax relief on the difference.

NB I had the same issue with my old 2.8l V6 Golf, but every time I did the sums, it was always cheaper to keep it than buy something with better economy.

As others said.

Company pays you 20ppm, you claim 25ppm x your tax rate.

So max would be 20+(25*.5)=32.5ppm

tbh I your position you're better off running the 330i until its not worth fixing.

And you'd be better off if the company reduced your salary by the difference of 45ppm - 20ppm for 10k miles pa. And paid you the 45ppm.

Also over 10k miles you can still get 20+(5*.5)=22.5ppm

i think the number 1 question is

is it reliable

does it get big service and repair bills ?

if not better the devil you know till it does start costing big money.

even if it sits on your drive doing nowt its not costing you depreciation - its bumbling along the bottom of the curve right now.

Trail_rat - £1500 in December 2011 to replace all wear and tear (rocker gasket, poly v drive belt, some bushes & front/rear discs to name a few) and the indy garage basically said that other than brakes tyres nothing should need doing for 5 years. It is reliable (although currently has a klonk in the steering wheel - bushes?). PLus I'm less concerned about minor scrapes and dirt when using it for bike stuff. May as well get the miles out of then as it seems worth more to me than someone else.

I think BR and trail_rat have summed it up nicely - it was the same conclusion I'd come to without the MAR involved, which frankly has helped the issue.

Now, I need to enter the complex world of HMRC.... 😯

Cheers all.

Kryton57 - Member
Indeed doosuk - same issue for me despite they are less costly than people think.

And btw - when do I claim this - as per self assessment (ie January)?

You can claim via SA if you already do one or there is a standalone form for MAR on the HMRC site.

Edit form P87

although currently has a klonk in the steering wheel - bushes?

When were the wishbone rear bushes changed? They need doing every 50-60k miles if not polybushed.

Crikey you can get tax relief on hotels and fud too....

dooosuk - Member
although currently has a klonk in the steering wheel - bushes?
When were the wishbone rear bushes changed? They need doing every 50-60k miles if not polybushed.

Its felt through the wheel when turning in static (ie parking) situations - how would that be the rear bushes?