Self employed and using own car for transport. My private mileage is usually only a small percentage of total mileage. I keep a log of my daily business miles.
How do i enter/allocate the VAT without using the Scale charges?
Hello Andrew,
If you are registered for VAT, you will need to split the purchase into two separate transactions - one for a normal business expense, the other for a non-business payment.
If you are not registered for VAT, you can enter two lines in the 'Allocate to Account' table in the Money Paid Out transaction. One account would be 'Travel', the other account would be 'Owner's Drawings and Personal Use'.
Regards,
Hi Mark,
Yes VAT registered. From your explanation i'm thinking it better to only claim VAT on a number of fuel purchases - based on the correct percentage/ratio. That way it should also satisfy the Inland revenue also.
EG. 75%of mileage is business, i fill up 4 times. Claim 3 purchases as business, 1 purchase as private. That acceptable?
Many Thanks.
Hello Andrew,
That sounds reasonable to me, but you will need to contact HMRC on 0845 010 9000 to see if they will accept that method.
Regards,
