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Posted Tue, 29 Nov 2022 15:10:42 GMT by jonathanparkins
Hi I am a self employed driving instructor and have just switched from petrol to electric. Up to now I have used traditional accounting, keeping receipts from buying fuel and recording my private milage separately. I plan to do all my charging at home, the charger is capable of recording charging sessions although I have not got this working yet. How can I record expenses for charging? I am prepared to switch to cash basis next tax year but am I right in thinking I can't do that mid tax year? Thanks
Posted Tue, 29 Nov 2022 15:31:43 GMT by jonathanparkins
I might mean Simplified expenses rather than cash basis but I've read that can't be used for dual controlled driving instructor cars? Or is that just if you're purchasing it (Mine is provided by a driving school)
Posted Fri, 02 Dec 2022 12:02:09 GMT by HMRC Admin 32

When using a privately owned electric vehicle at work, it is possible to claim for mileage too. These are known as approved Mileage Allowance Payment rates and just like diesel or petrol cars, the amount that can be claimed is 45p per mile tax free for the first 10,000 business miles. The rate for subsequent miles is 25p per mile.

This would be the simplified expenses system and that would cover the cost of charging the vehicle.

You cannot change mid year from traditional to cash basis.

Thank you.
Posted Fri, 02 Dec 2022 12:20:55 GMT by jonathanparkins
Thank you for your response, I've read about the 45p and 25p rates and there is also a rate for electric cars, does this only apply to employees using a company car? Also I'd like to clarify that the vehicle is not privately owned by me, I pay for it through a franchise fee to a driving school, can I still use the method you suggested? And lastly can I move to simplified expenses this tax year if I've not been using it for my previous car(saving fuel receipts etc.)? Thank you
Posted Fri, 02 Dec 2022 16:01:10 GMT by HMRC Admin 2

You can find guidance here:

Claim capital allowances

Although not privately owned, from what you are describing, it is a lease car.

You wont be able to move to simplified expenses until 6 April 2023.

Thank you.
Posted Mon, 05 Dec 2022 09:27:45 GMT by jonathanparkins
Reading through the link and especially this link within it, it says I can't use simplified expenses for dual controlled driving instructors car . "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)" So what can I do if I can't expense for home car charging and I can't claim per mile through simplified expenses? Thanks
Posted Wed, 07 Dec 2022 16:30:25 GMT by HMRC Admin 2

This would fall under increased costs for working from home to cover the extra electricity,

Expenses if you're self-employed

Thank you.
Posted Mon, 18 Dec 2023 13:34:01 GMT by HMRC Admin 19

We have an updated response to the answers previously given as follows:

Driving instructors cannot use simplified expenses for their dual control cars when calculating their profits. This is because simplified expenses cannot be used for a vehicle which is of a type not commonly used as a private vehicle and/or unsuitable to be used as a private vehicle. The courts held in 1964 that a dual control car is neither commonly used nor unsuitable to be used as a private vehicle.

Driving instructors should calculate the actual expenses incurred in relation to their dual control cars. In addition, annual investment allowance is available in relation to the purchase of dual control cars.

Thankm you.

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