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Can Health Care Workers Claim for Mileage?

24/08/2020

GP home visit

It’s a great question and something we get asked all the time. Whether you’re a doctor, GP, care home worker or a health practitioner that travels to check on patients, just like your uniform, you’re eligible to claim back you tax for the distance you’ve travelled.

Throughout this article, we’ll provide you with all the necessary information so that you understand all the rules surrounding this particular type of tax claim.

When it comes to claiming tax relief for your journeys, it’s actually quite complex, especially if you’re classed as self-employed or a locum. So, if you’re still really unsure even after reading this guide, feel free to give the team here at Claim Back Tax a call and they’ll make sure it’s as clear as a sunny day!

How is eligibility determined?

Taxpayers in the UK are entitled to a tax rebate for the cost they incur for travelling, whilst doing their jobs. If you’re not already compensated by your trust for these expenditures, you’re more than likely able to claim some of the tax you have paid throughout the year, back.

*NOTE: It’s important that everyone understands that HMRC won’t just allow you to apply for tax relief for any miles journeyed, such as from your permanent place of residence to work, as this is seen as normal commuting.

However, if the trust you currently work for pays for cost of ordinary travel, HMRC will see this as an additional salary, so you need to make sure this tax and NI is deducted from the amount that’s paid to you.

So, what types of journeys can I make a claim for?

Here’s a really simple example of the type of travel you’ll be able to get a tax rebate for. If you make home visits to patients or if you travel a lot between hospitals for something like mandatory training, you’ll be able to get a tax refund for these miles.

Not only that, if you travel by train or have to pay parking permits, you should be able to get this back to.

Does it have to be with a company car or your own?

Let’s say you’re a doctor and you use your own vehicle for “business travel”, you’ll be able to take advantage of the approved mileage allowance from HMRC. With this there’s an allowance per mile for the distance you’ve completed.

This is where it gets tricky though, because if you’re reimbursed the amount by your trust, the payments are tax free and you won’t have to pay NI either. However, if get less than these amounts or don’t get recompensed at all, you’ll be able to claim your tax back on your mileage.

At the moment, the below table illustrates the mileage allowance rates available:

mileage amounts table

What records should I keep if I’m going to make a claim?

Keep a log of any journeys you’ve made for work that can be classed as “business travel”, including the distance there, back and total, as well as the date and the destination of where you were going.

For some extra tips, check out one of our previous posts to make sure you avoid making any mistakes when claiming mileage.

The next thing to do is use our free online tax calculator, which will give you an instant estimate for what you’re able to claim back, it only takes 2 minutes! Once you’ve done that, a specialist mileage tax adviser will get in touch to finalise the claim. It’s that easy.