Mileage Claim Calculator
Every business trip to the merchant, suppliers, or customer site is tax deductible. Select your vehicle type and calculate your annual HMRC tax allowance.
Vehicle Configuration
HMRC Allowable Deduction
This amount is deducted directly from your trade turnover. At a 20% tax rate, this saves you £0 in cash.
How the HMRC Mileage Allowance Works
In the UK, HMRC allows self-employed sole traders and contractors to write off business mileage costs using a flat-rate deduction model. Instead of tracking every individual fuel, tyre, repair, and MOT invoice, you can deduct a fixed amount per mile driven for business purposes. This is known as the **Simplified Expenses** method.
The rate is split into tiers for cars and vans. For the first 10,000 miles driven in a tax year, you can claim **£0.45 per mile**. Any business miles driven over the 10,000 threshold are claimed at a lower rate of **£0.25 per mile**. This structure is designed to front-load depreciation and initial wear-and-tear costs. Motorcycles have a flat rate of **£0.24 per mile**, and bicycles have a rate of **£0.20 per mile** (with no mileage tier thresholds).
A Worked Example
Let's say you are a sole trader electrician driving a transit van. During the 2025/2026 tax year, you log exactly **12,000 business miles** visiting clients, checking sites, and driving to wholesaler branches:
- First 10,000 miles calculated at £0.45:
10,000 miles × £0.45 = £4,500.00 - Remaining 2,000 miles calculated at £0.25:
2,000 miles × £0.25 = £500.00 - Total allowable mileage deduction:
£4,500.00 + £500.00 = £5,000.00
This £5,000 is claimed as an allowable expense on your Self Assessment tax return. It directly reduces your taxable profits, meaning you do not pay income tax or Class 4 National Insurance on this portion of your income.
Three Common Mileage Claim Mistakes
- Double Claiming Fuel and Mileage: You cannot claim the flat £0.45/£0.25 mileage rate AND claim your actual fuel receipts or garage repair bills. The flat rate is designed to cover fuel and maintenance.
- Claiming Commuting Miles: Regular commuting from home to a permanent base or workshop is not tax-deductible. HMRC only allows claims for travel to temporary job sites or supplier locations.
- Lacking a Log: If audited, HMRC will reject claims that are based on guesses or estimates. You must keep a log containing the date, start/end locations, client name/job code, and exact distance for every journey.
Stop doing manual math on building sites
The Free Mileage Calculator is helpful for quick calculations, but the VanLog app manages your entire business records on your phone, completely offline.
- Automatic GPS trip tracking
- Instant HMRC log generation
- Allocate mileage costs to jobs
- Works completely offline on sites
Frequently Asked Questions
Answers to common questions about these trade regulations and calculations.
For the 2025/2026 tax year, HMRC's Approved Mileage Allowance Payments (AMAP) flat rates allow self-employed sole traders to write off £0.45 per mile for the first 10,000 business miles in a car or van, and £0.25 per mile thereafter. Motorcycles are set at £0.24 per mile and bicycles at £0.20 per mile. This simplified expenses method is designed to cover fuel, insurance, road tax, and vehicle wear-and-tear.
No. If you choose the HMRC simplified mileage method, you do not need to keep individual fuel, servicing, or insurance receipts. However, you must keep an accurate travel log detailing the date, destination, business purpose, and mileage of every single trip. If HMRC audits your tax return, they will ask for this mileage log, not fuel receipts.
No, you must stick to one method for the lifetime of that vehicle. Once you claim the flat mileage rate for a van or car, you cannot switch to actual costs (fuel, repairs, tax) in a future tax year for that same vehicle. If you buy a new vehicle, you can choose to use the actual expenses method or the mileage method for that new vehicle.
No. Regular commuting to a permanent place of work is not tax-deductible under HMRC rules. You can only claim business mileage for travel to temporary work locations (like customer building sites), visiting suppliers/wholesalers, or running business errands.
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