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Posted Wed, 17 Jan 2024 12:00:28 GMT by
Hello, I have seen on other threads that simplified expenses method ceased on Dual controlled cars around 2020. Meaning that you could no longer claim vehicle expenses using the mileage method and now can only claim actual vehicle expenses. Could you please advise what happens if the method to claim mileage instead of actual expenses was already adopted on the vehicle before the changes came into effect and you still have that vehicle today? The normal principle is not to change the method until you have a new vehicle so as the vehicle was in the business before the changes can you continue with this method? Or, should the mileage method have been ceased within the 20/21 tax return? and should earlier returns be restated? Thank you
Posted Fri, 19 Jan 2024 10:25:50 GMT by HMRC Admin 25
Hi Michelle24 Brooking,
As actual expenses should have been used at all times then the previous years would need revisited:
BIM75005 - Simplified expenses: expenditure on motor vehicles.
Thank you. 
Posted Fri, 19 Jan 2024 11:51:32 GMT by
Hello, I still need a little more clarification please. Driving instructors with dual controlled cars, have previously been able to claim the mileage relief method (the method as outlined on the link you sent), can you please confirm when dual controlled cars were defined as commercial vehicles? I can’t find it on the updates on the link but I am sure this was sometime in 2020. Thanks
Posted Mon, 22 Jan 2024 15:49:02 GMT by HMRC Admin 5
Hi Michelle24 B

Please have a look at CA23510 - Plant and Machinery Allowances (PMA): cars: outline - meaning of ‘car’ as it advises that "cars used by a driving school and fitted with dual control mechanisms (Bourne v Auto School of Motoring (Norwich) Ltd 42TC217)" should not be treated as cars for plant and machinery allowance (PMA) purposes.

Thank you

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