Claiming back tax on the daily Ulez charge
【Summary】Self-employed tradesmen driving non-compliant vehicles in London's Ulez can reclaim the £12.50 daily charge through their tax returns. The Ulez scheme, expanding to cover all boroughs, imposes the charge on drivers. However, tradesmen may qualify for exemptions or grace periods and can claim the charge as a business expense.
London's ultra-low emission zone (Ulez) is causing concern for self-employed tradesmen who drive vehicles that do not comply with the regulations. Starting today, the Ulez scheme will be expanded to cover all London boroughs, resulting in a daily charge of £12.50 for drivers across the city.
However, there may be some relief for tradesmen who are required to pay the Ulez fee. They may be able to claim it as a business expense when they submit their annual tax return. This could potentially allow them to recoup the money spent on the clean air levy.
Since its implementation in 2019, the Ulez scheme has introduced a few exemptions and grace periods for certain eligible drivers. Disabled people, charities, and small businesses are among those who qualify for these exemptions.
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