Car expenses categorised as disallowable expenses. Why?

Porcupine24 · ‎January 27, 2022

Hi,

Why does QBSE class car expenses as disallowable expenses when I do not use the milage tracker feature?
I would like to allocate car expenses into the 'car/vehicle expenses' category and have them come up as allowable expenses in the tax report since I do not use the 'per mile' accounting method for vehicle expenses.

HMRC classes these as allowable expenses, yet QBSE doesn't. Why, and how can I change this? It seems pointless having QBSE categorise these things for me if I have the correct it afterwards.
It's the same issue for rent/utilities as well.
Why not have an option you can toggle that lets you select your accounting method for these categtories?

Ashleigh1 · ‎January 27, 2022

Hello Porcupine24,

Welcome to the Community page,

So it will be down to simpliefied expenses as QBSE uses simplified expenses for both mileage and rent/rates as you can see in this link here.

so we can see you have entered in 50 hours in work from home in the tax profile section so that will be why you are seeing the change in the rent rates, this link tells you more.

Having had a look into your account more if you want to record car van expenses like fuel and is using actual costs instead of flat rate (the simplified method) then you can change them all to travel expenses and this will then show in the allowable instead of currently showing in the disallowable under car,van expenses. Tells you more here again about it.

View solution in original post

Ashleigh1 · ‎January 27, 2022

Hello Porcupine24,

Welcome to the Community page,

So it will be down to simpliefied expenses as QBSE uses simplified expenses for both mileage and rent/rates as you can see in this link here.

so we can see you have entered in 50 hours in work from home in the tax profile section so that will be why you are seeing the change in the rent rates, this link tells you more.

Having had a look into your account more if you want to record car van expenses like fuel and is using actual costs instead of flat rate (the simplified method) then you can change them all to travel expenses and this will then show in the allowable instead of currently showing in the disallowable under car,van expenses. Tells you more here again about it.

Mikekcv · ‎July 25, 2022

I realise this is an old post, but after changing to travel expenses it still showing some as dissallowable, how can I resolve this

Ashleigh1 · ‎July 25, 2022

Hello Mikekcv, thanks for posting on this thread could you send us a DM or PM on facebook or twitter with the issue and the email address please so we can take a look into your account more for you.

Chris0604 · ‎January 21, 2024

I’m also having this issues. Was this ever resolved for you?
I think the fact the app doesn’t recognise vehicle expenses as tax relief is completely stupid

Porcupine24 · ‎January 22, 2024

Hello. No, it was never resolved. QB seems to only cater to the 'per mile' method of accounting for vehicles, wheras I prefer to lump all my fuel and maintenance costs into one sum. I'd never remember to track every trip I did with the app, and frankly that would just be a faff, anyway.

Why they don't let this be adjusted is beyond me. As I mentioned in my initial post, HMRC are completely happy with my method of accounting, so it's not frowned upon. QB just doesn't seem to work that way, unfortunately.

MJS · ‎January 28, 2024

So how did you get round it? By re categorising those expenses?

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Car expenses categorised as disallowable expenses. Why?