Sole Trader Tax GuideUpdated 2026-10-06HMRC 2026/27

Mileage at 55p, and the log HMRC expects

The 2026/27 simplified mileage rate is 55p for the first 10,000 business miles and 25p after that. Here is the log to keep.

✓ VerifiedFact-checked against HMRC Business Income Manual (BIM45000), EIM31240, and statutory sole-trader record rules.

For 2026/27, simplified mileage for cars and goods vehicles is 55p a mile for the first 10,000 business miles and 25p after that. The increase from 45p applies from 6 April 2026. Motorcycles and bicycles stay on their own rates.

The log

Write each journey when you do it. Date. Where you started. Where you finished. Why it was business. Miles. Estimates typed up in January are the records that fall over.

If you use the mileage rate for a vehicle, you do not also claim the fuel, insurance, and repairs for that same vehicle. Pick one method and stick with it for that vehicle. Receipts Dock will still store a fuel receipt if you send one. Your bookkeeper chooses the method.

Statutory Record-Keeping Notice: Under Section 12B of the Taxes Management Act 1970, UK sole traders must keep and preserve all records needed to deliver a correct and complete return. Receipts Dock preserves your photos and CSV ledgers for 6 full years. This guide is for record-keeping purposes and is not formal tax advice.

🔍 SA103 Box FinderSearch materials and tools to find their exact HMRC tax box.🚗 55p Mileage CalculatorWork out 55p & 25p tax allowance on business journeys.

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