Vehicle repairs and servicing

Partial

Repairs and maintenance costs for a vehicle used in your trade are deductible as day-to-day running costs: servicing, MOTs, tyres, oil changes, and repairs to keep the vehicle in working order. If the vehicle is used partly personally, only the business-use proportion is deductible.

Common questions

Can I claim my annual van service and MOT?

Yes. Routine servicing and MOT costs are fully deductible for a business-only van.

I had a major repair after a breakdown on a job. Is that deductible?

Yes, repairs to restore the vehicle to working order are revenue expenses. Keep the invoice.

A £400 clutch replacement on a van I use 80 per cent for work. How much can I claim?

£320. Repairs follow the same business-use split as the rest of the vehicle's running costs, so 80 per cent of £400.

Watch out for

Improvements that go beyond restoring the vehicle to its original condition may be treated as a capital purchase rather than a repair.
If you use the flat mileage rate (AMAP) for mileage, you cannot also claim separate repair, fuel, or insurance costs. The mileage rate covers all running costs.
Roadside recovery membership (AA, RAC and similar) is a vehicle running cost, claimable on the same business-use basis, unless you claim the mileage rate.

Common mistakes

Claiming repairs on top of the flat mileage rate. The rate already covers them.
Claiming 100 per cent of a repair on a mixed-use vehicle. The business-use split applies to repairs like everything else.

Cash basis vs traditional accounting

Repairs are a day-to-day cost on both methods, deducted in the period you paid (cash basis) or the period the work relates to (traditional accounting).

If you use the flat mileage rate (AMAP), do not also claim repair costs separately. The mileage rate covers all running costs.