The tax deductibility of walking

Greetings
Whilst considering my mileage expenses for the last tax year, it has seemed a little unfair that I can get 45p per mile in my car, 20p on my bicycle and 0p if I walk.
The nature of my business is such that I need to visit customers at their premises or at their homes. Many of these customers live within a 15 minute walk of my own home, and I often do just that. I occasionally use my bicycle, but more often than not, I don't.
But the question is, what is to stop me from saying I attended all the jobs I walked to on my bicycle? Why shouldn't I?
Reece
Reply to
Reece Bythell
Exactly. Meanwhile, corporation tax is entirely optional for multinationals. One has to love the joys of the tax system.
The broad point I'm obviously making is that Mr/Ms Taxman has no idea whether or not I used the bike, whereas challenging fraudulent claims for excessive car mileage is somewhat more doable.
What I also find interesting is the ratio of expenses. It seems to me that the bicycle rates are rather generous indeed. The implication from the current rates is that maintaining a bicycle is 44% of the cost of maintaining a car!
Needless to say I have suddenly remembered that I did indeed attend 90% of my jobs on my bicycle and have the bruises to prove it :-)
Reece
Reply to
Reece Bythell
Profit is the biggest option. No profits == no corporation tax.
You should keep a log of when you use your bike.
Taxation rules don't have to follow true cost. How would you defend subsidies?
It just takes the evidence that you didn't on one of your named trips and you're in deep poo. Probability though is very small especially since the company accounts are submitted anything from 8 months to 20 months after the actual event!
Reply to
Fredxx
What about taking the bicycle along, but walking while pushing it alongside you? Would that entitle you to claim 20p?
Reply to
Chris Blunt

I do, but it doesn't really prove much, does it.
Just making an observation, that's all. I know there are quirks throughout the tax system; just discussing another one :-)
As you say, it seems like a pretty difficult thing to challenge. At least when considering cars you can investigate whether money was actually spent on the necessary running costs like fuel and MOTs. For a bike - maybe the odd new tyre?!
Reece
Reply to
Reece Bythell

but no CT does not = no profit, it just means that you offshored the profit to a location with no corporate taxes.
tim

Reply to
tim.....
Then more fool us into allowing free trade with countries who offer low levels of corporation tax such as ROI and Switzerland.
More fool us for not having the same levels to encourage profit to the UK, and subsequent UK taxes.
Reply to
Fredxx
With respect, the main rate of corporation tax for companies with profits in excess of £1.5M is currently 24%. It is reduced to 23% next FY.
Reply to
Fredxx
Perhaps the tax office needs to base taxation on revenue rather than profit on larger companies.
Reply to
Mark

And I can't believe that anyone goes to the effort of setting up an offshore organisation to save 2% so I would suggest that the people who do funnel profits through CH have a special "agreement" in place. They do this for individuals so why not for companies.
tim

Reply to
tim.....
Are there legal requirements of using your bike for work, which may involve standing expenses? E.g. our local plod have been forced to do just that as a result of the enormous cost of professional maintenance of their pushbik es which is presumably an insurance requirement. IU that some household ins urance policies cover bike riders against damage/injury claims, but I bet t hey'd wriggle out if it's a customer's foot you run over.
Chris
Reply to
chrisj.doran%proemail.co.uk

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