For freelancers in London, the tube is a fast, affordable way to travel for business appointments. That said, if you happen to make a social call or two en route, then receiving tax relief on your tube fares becomes a little more complicated.
Luckily, SimpleTax take all the complications out of completing a self-assessment tax return in a way that is not only quick and easy, but explains exactly what and how you can claim as a business expense, including tube travel.
Can I claim?
Yes, if they cover business journeys only. See conditions below.
If the next ticket you buy for the tube covers a business journey only, then you’re absolutely entitled to full tax relief on the cost.
If, however, you buy say a monthly, yearly or other type of ticket covering multiple journeys, some of which will be for personal appointments, that’s when things start to get a bit tricky. If this applies to you, it’s important that you can differentiate between personal and business journeys and deduct the percentage of personal travel from the overall cost of your fare if you want to claim tube travel as a business expense.
Simply go to your self-employed expenses, and under "Travel", count your tube costs as "Train fares".
Can I claim for other modes of public transport too?
Providing the journeys undertaken were for business reasons, you can claim tax relief on fares for trains, busses, taxis and air travel. Again, you’ll find all this under the "Travel" group in your self-employed expenses.
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