Manchester accountants handle clients from across the Greater Manchester region and beyond – and when you live in one part of the north-west, and work in another, your commute costs can be an important ingredient in offsetting the amount of personal tax you have to pay.
It’s fair to incorporate the necessary costs of business travel into your overall expenses, and to avoid paying tax on this sum of money which, effectively, never makes it into your current account as profit.
But figures from personal account provider thinkmoney show that, depending on your choice of vehicle, you could be exposed to significantly higher commute costs than are actually necessary.
For a commute between Preston and Manchester, for example, it would cost around £2,600 to travel by train over the course of a year.
You might expect it to be cheaper to make the same journey by car; however, you’d be wrong.
Citroen C2 drivers face an annual cost of almost £3,400 to drive the same commute, Ford Focus motorists must stump up over £4,400, and a BMW 5 Series racks up a hefty £7,400 each year.
With this in mind, it is important to provide your Manchester accountants with an accurate assessment of your travel expenses – whatever they may be – so that we can offset as much personal tax as possible, in line with what is permitted by law.