Parking

A parking or traffic fine is never a business expense — penalties for breaking the law can't be deducted, even when the overstayed meter was outside a client's office. The parking charge itself is different: paying to park while on a business journey is allowable, though parking at your regular workplace as part of the daily commute is not.

Sole traderAllowable
Ltd companyAllowable
EmployeeConditional

Conditions

  • Parking incurred on a genuine business journey is allowable.
  • Parking at a permanent workplace as part of ordinary commuting is not allowable.
  • Parking and traffic fines and penalties are never allowable — penalties for breaking the law cannot be deducted for tax, even if incurred while on business.

Common mistakes

  • Trying to claim a parking fine or penalty.
  • Claiming parking that relates to ordinary commuting.

What to keep

  • Parking receipts linked to the relevant business journey.

Real-world example

A consultant pays for car parking while visiting a client for the day. The parking cost is allowable, but a fine they received that day for overstaying is not.

Frequently asked

Are parking fines ever allowable?
No. Fines and penalties are not allowable for tax, even if incurred while on business.

Not sure how this applies to you?

The rules shift with your circumstances. A qualified accountant can confirm what you can claim and handle it for you.

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Related allowances

Source: HMRC guidance · Last checked 17 June 2026

This page is general information based on HMRC published guidance, not tax advice. Status shown is a plain-English summary — your own position can differ. Always check the HMRC source above and speak to a qualified accountant before making a claim.