Simplified expenses if you're self-employed
Vehicles
Calculate your vehicle expenses using a flat rate for mileage instead of the actual costs of buying and running your vehicle, for example insurance, repairs, servicing, fuel.
You can use simplified expenses for:
- cars (except those designed for commercial use, for example, black cabs, hackney carriages or dual control driving instructors’ cars)
- goods vehicles (for example, vans)
- motorcycles
You cannot claim simplified expenses for a vehicle you’ve already claimed capital allowances for, or you’ve included as an expense when you worked out your business profits.
| Vehicle | Flat rate per mile with simplified expenses |
|---|---|
| Cars and goods vehicles first 10,000 miles | 45p |
| Cars and goods vehicles after 10,000 miles | 25p |
| Motorcycles | 24p |
Example
You’ve driven 11,000 business miles over the year.
Calculation:
10,000 miles x 45p = £4,500
1,000 miles x 25p = £250
Total you can claim = £4,750
You do not have to use flat rates for all your vehicles. Once you use the flat rates for a vehicle, you must continue to do so as long as you use that vehicle for your business.
You can claim all other travel expenses (for example train journeys) and parking on top of your vehicle expenses.
Use the simplified expenses checker to compare what you can claim using simplified expenses with what you can claim by working out the actual costs.