21st May 2012, 12:43 PM
Dinosaur Wrote:Hopefully you've already paid your Insurance, Vehicle Excise Duty and MOT anyway, so only the fuel and wear and tear are coming out of your 40p - I cost it at about 25p/mile for a 1.6 Nissan Note (15p fuel and 10p to replace the car next time around) so the rest is, in fact, profit
This presumes that you are running a car for other use apart from work. I would not need a vehicle for private use. In theory I could proportion business use against tax but I would need to keep very good records. I once worked it out that to keep a car on the road insured, taxed (serviced) and totally legal was between ?2000-?3000 a year (thats if it is more than 3 years old). I have been running a car for work for well over 30 years and there is no profit in it, if there was you would get taxed on it. Most people underestimate the cost of running a vehicle (or are running an unsafe vehicle!!!)