Questions and Answers

Can I claim business mileage on a private car?

I am self-employed and I use my own car for business journeys, what can I claim?

In general you can claim expenses on your personal car if they are directly related to your business journeys. You also may be able to avail of capital allowances.

Claiming business mileage on a private car

Firstly you can claim for any expenses directly related to your business journeys i.e. fuel costs.

You will need to keep detailed records of your business journeys along with fuel receipts to back up your claims for any tax deductions.

You will also be able to deduct a portion of your motor tax and annual insurance costs. The amount you can deduct will be line with what proportion of your overall mileage your business mileage represents i.e. if you travel 15,000km per annum and 7,500km is business related you can claim 50% of these costs.

Capital Allowances

You may also be able to avail of a tax deduction known as capital allowances. This essentially is a deduction for the cost of your car spread over an eight year period. The amount of capital allowances available to you depends on the emissions rating of the car, as follows:

cars in category A or B, €24,000,
cars in category C, the lesser of €12,000 or half the cost of the car, and
cars in category D, E or F, zero.

Calculating capital allowance on cars is a tricky area and you should always consult an accountant before making any claim.

Date published 17 Feb 2022 | Last updated 17 Feb 2022

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

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