Taxi Driver Online

You're on a wind up!!

In London you are probably doing 8-12 to 1, especially as you do nights when the rates are 50% on top of the day rate.

You're having a giraffe!!

_________________
Kind regards,

Brummie Cabbie.

Type a message, post your news,
Disagree with other members' views;
But please, do have some decorum,
When debating on the TDO Forum.

6 years ago, as a courier, my account reckoned HMRC would accept a 4:1 ratio sales:fuel, though taking backloads (when the outbound job had paid for the fuel) would confuse them, but as i said, if HMRC want to do the job and can do it better ill be happy to swap jobs and sit in an office all day doing SFA

my 900 mile a week contract is only 300 loaded mils per week, it sounds madness but i can bet you i aint paying the dead miles!

_________________
Of all the things ive lost, i miss my mind the most

My accountant has submitted a 5 to 1 ratio!

Having said that I do not see as to how HMR can generalise by saying that we are all 6-1 5-1 whatever, as business distances vary area to area e.g where I live (but do not work), they will during the week be doing mostly short drops (with not much dead mileage), so the ratio re fuel i.e 6-1 5-1 whatever, is a nonsense. This may or may not depending on the time of the month alter slightly at weekends (monies etc), whereby they may be back and fore to Cardiff 10 miles ish & 10 dead miles back..........so how does the equate.

Like wise I travel 10 dead miles into work and the same upon return (not on the radio/data base), multiply that by say 6 = 120 per week or if you like 6240 dead miles per year + if I use the vehicle on my day off = more dead mileage.

Taking into account the above, I cannot understand as to how their formula (HMR) has been accepted as being acceptable.

I am given to understand that the biggest mistake made by tax evaders is to...........shall we say they declare that they are earning 10K per annum........But! their bank account shows that they need 15K to live on

Is it correct that HMR only allow you/I 5000 private miles per year, or is that a misnomer.

_________________
if you cannot be yourself, then who can you be.

Used to have a regular punter who did the self-assements at the inland revenue.

He told me that they know how much drivers earn and that they are not always entirely truthful, they use fuel claimed against earnings as a quick, rough guide, and it's based on what all the other drivers are saying in the same area.

He did also tell me that they don't bother checking/questioning returns until the declared earnings fall below a certain limit (but wouldn't say what that was !) and that they are not that bothered in chasing the few hundred quid you might have got away with as they are more interested in the firms dodging £1000's.

Say you actually earnt £25,000 but only declared £20,000. Instead of paying £3,400 tax you only pay £2,400 - because of the time and cost of investigation they are'nt going to bother for the sake of £1,000.

£25k, bloody hell, I will be lucky to earn 7 or 8k, Brum is saturated with Taxis. I drop the wife off in central Brum at 9, work the middle of the day and pick her up at 5. I put around £100 diesel in per week and around half of that is travelling to work fuel. I only do it because I love Taxi driving and being a city cabby.

Are you getting your working tax credit ? On them earnings you'd get around £50 p/w.

Not exactly one of life's grafters.

_________________
IDFIMH

9-5 does for a huge amount of office staff (public and private sector) should HC/PH drivers have to live behind the wheel to earn a crust?

work to live, not live to work

_________________
Of all the things ive lost, i miss my mind the most

But we are not office staff, our customers use us 24 hours a day 7 days a week.

Now if you could arrange punters to go clubbing etc only between the hours of 9.00am to 5.00pm, then great, but until then drivers doing those hours will earn f*** all.

_________________
IDFIMH

Calculating Tax: HMRC has a pretty accurate idea of Running Costs of your type of vehicle, as a percentage of Turnover.

For every class of Vehicle they will know the approximate Fuel Cost/Earnings Ratio, They will also have a pretty good idea of the maintenance costs of each class of vehicle depending on the mileage it does and the type of Service Engineers the Invoices have come from.

So long as your declaration is within a 'gnats whisker' of these percentages, they will probably accept your figures without even checking. If any part of your running costs are outside these Ratios, your accounts will be flagged for examination.

The bigger the variance the more likely you are to be investigated.

The real knack is knowing what those percentages are and being within them!

It is not up to them to prove that you are wrong ~ They will estimate the Tax you owe them and you have to pay-up or prove that their estimate is incorrect. Oh! and that'll cost you a fortune in Accountancy Fees.

_________________
Don't dream it ~ Be it.

In the last 30 years I've sat through 2 such investigations and got off, more or less, Scot Free.

If that is not a Racist Term!

_________________
Don't dream it ~ Be it.

We aren't entitled to them. Wife earns too much.

So what is the threshold?

_________________
Kind regards,

Brummie Cabbie.

Type a message, post your news,
Disagree with other members' views;
But please, do have some decorum,
When debating on the TDO Forum.

http://taxcredits.hmrc.gov.uk/Qualify/DIQHousehold.aspx
Don't know, but we come out as £0 working tax credits and £0 child tax credits

ive assisted two local drivers to claim WORKING tax credits, you dont need to have kids (that would entitle you to CHILD tax credits too)

1 didnt believe me till i almost forced him to apply and got £90 per week

(didnt bung me tho!)

The other was considering bankruptcy, he is an ongoing case

anyone wanting advice on tax credits (or bankruptcy) please PM me......

_________________
Of all the things ive lost, i miss my mind the most