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Can I claim my car costs as a business expense to save tax? Sole trader: You can claim either mileage or the business-use % of your actual car costs (fuel, insurance, repairs, etc.) — but not both. Limited company: It’s usually best to claim mileage unless your car is a commercial vehicle (like a van, taxi, or driving instructor car) or a fully electric car owned by the company. Otherwise, you’ll get hit with a Benefit in Kind (BIK) tax charge on company cars. Quick tip: QuickBooks app has a sup