Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Sat, 07 Jan 2023 15:28:08 GMT by Nicole Smith
Hi, As a sole trader I bought a van. It is my primary vehicle and I'm aware that the majority of my milage is considered personal as a commute, however I do regularly drive to other sites for site work or markets. I'm unclear on how I claim for the van if I'm not using simplified expenses. If I claim the purchase cost of the van do I claim only a portion as the business proportion? Or the whole cost as a capital allowance and then, for example, 20% of insurance/tax costs and relevant fuel for mileage? TIA
Posted Thu, 12 Jan 2023 13:53:41 GMT by HMRC Admin 5

You can find guidance here:

HS252 Capital allowances and balancing charges 2022

Thank you.
Posted Fri, 13 Jan 2023 10:55:59 GMT by Nicole Smith
Thank you - I'm still not sure I understand fully though. Say the purchase price of the van was £8000. Can I claim it as a capital allowance for 100% of the cost? It doesn't fall into the lower emissions categories and is used for both business and personal miles. As a van does it count as plant and equipment rather than a business car? I'm also still unclear on how to calculate what is claimable for maintenance, fuel, insurance etc.
Posted Tue, 17 Jan 2023 11:57:19 GMT by HMRC Admin 32

As the van is used for both private and business use, you will need to work out hte percentage that is actually business. It is then this percentage of the cost that you can claim as the capital allowance. The van counts as plant and machinery. The same principle will apply for maintence, fuel etc

Thank you.

You must be signed in to post in this forum.