The roads don’t wait and neither does HMRC. Whether you’re a self-employed courier working a regular round, an owner-operator running your own HGV, or a haulage business managing a small fleet — your tax position is more involved than most people realise, and the consequences of getting it wrong tend to catch up with you quickly.
At Hayes Chartered Certified Accountants and Tax Consultants, we work with van drivers and haulage operators across London and the rest of the UK. We understand the structure of this industry: the mix of employed and self-employed arrangements, the complexity around vehicle costs, and the specific pressures that come with operating in a sector where margins are tight and fuel costs can swing dramatically.
One of the most common issues in road transport is employment status. Some drivers work as genuine employees, some are self-employed sole traders, and some sit in a grey area where the arrangement looks like self-employment but HMRC might see it differently.
If you’re self-employed, you’re responsible for filing your own Self Assessment tax return, paying your own National Insurance, and managing your own books. Your expenses — fuel, maintenance, insurance, tolls — are yours to claim, but only if they’re properly recorded and genuinely business-related.
If you’re an owner-operator running your own vehicle and contracting out your services, you’re running a business, not just doing a job. That business needs accounts, and those accounts need to be accurate.
Haulage companies with employees have PAYE, employer NICs, auto-enrolment duties, and likely VAT to manage alongside the usual business accounts. It stacks up.
This is where most van drivers and haulage operators have questions. Vehicle costs are a major part of running costs in this sector, and HMRC has specific rules about how they’re treated.
For self-employed drivers using a van exclusively for business, costs like fuel, insurance, servicing, repairs, MOT, road tax, and vehicle financing can typically be claimed in full. The word “exclusively” matters — if the van goes anywhere personal, the calculation changes.
For cars (if relevant), HMRC restricts the capital allowances you can claim based on CO2 emissions and whether there’s any private use.
Mileage-based claims — the simplified expenses method — are sometimes appropriate for smaller operators. Whether that or actual costs gives a better result depends on your specific figures.
Getting this wrong in either direction is a problem: underclaiming and you pay more tax than you should; overclaiming and you’re exposed if HMRC opens an enquiry.
We’re London-based but work nationally, and our service works fully remotely — which suits most drivers just fine. You’re not in an office. You shouldn’t need to be in ours.
We keep things practical. Most of our transport clients want clear answers, fast turnaround, and someone who already understands what they do for a living. We don’t need a lengthy explanation of how owner-operator contracts work or what a tachograph is. We know the territory.
We also understand that cash flow in this sector can be lumpy. Fuel costs spike. Contracts end. We factor that into how we help clients plan, not just how we file their returns.
Assessment, file a tax return each year, and pay Income Tax and Class 2/4 National Insurance on your profits. You’ll also need to keep records of your income and allowable expenses throughout the year.
You can’t usually deduct finance payments directly. Instead, you claim capital allowances on the value of the van, and the interest element of finance payments may be deductible separately. We calculate the most tax-efficient approach for your situation.
Usually not if the job site is your regular place of work. If you’re genuinely travelling to different locations for different clients or contracts, travel costs are typically allowable. The rules around this are specific and we advise clients on them individually.
If your total taxable turnover in any 12-month rolling period exceeds £90,000, registration is compulsory. It may also be worth registering voluntarily before then in some cases — we can look at your numbers and advise.
If your taxable turnover in any rolling 12-month period exceeds £90,000, you must register. If you’re approaching that figure, speak to us before you cross it — there are decisions worth making in advance.
Income records (invoices, payment receipts), fuel and mileage logs, maintenance and repair receipts, insurance documents, any lease or finance agreements for vehicles, and bank statements. We help clients understand what’s needed and keep it manageable.
Both need to be declared. Your PAYE income will normally have tax deducted already; your self-employed income is assessed separately. We reconcile both on your Self Assessment return.
There are a lot of ways you can contact Hayes Chartered Certified Accountants (HCCA),
Call : 0208646 0800
WhatsApp : 07429584191
Email : info@hayes-accountants.co.uk
Submit your query here : Form
or for more details : Contact Us
Stop juggling your finances alone. Hayes Chartered Certified Accountants and Tax Consultants offers everything a business or individual needs under one roof — Bookkeeping, VAT returns, payroll, self-assessment tax returns, pension auto enrolment, year end accounts, corporation tax, capital gains tax, CIS tax returns, tax rebates, landlord taxation, management accounts, cash flow management, budgeting and forecasting, tax advisory, company formation, registered address, company secretarial services, and Making Tax Digital (MTD) compliance. One team. Every service. Zero hidden fees.
Book your free consultation today and find out how much we could save you.
