Mileage Tax Allowance, UK

[Mike Evans]

This has been partially answered here before (http://gnucash.1415818.n4.nabble.com/Deduction-for-Mileage-td1431031.html)but I find myself in need of some details in account setup.  Regarding the reply below I have some questions.  I'm in the UK by the way.

>> 
>> The US IRS allows a deduction of 55 cents per mile for business use 
>> of a car. 
>> 
>> Is there a way to account for this by entering the miles directly, 
>> then having GnuCash figure the deduction? 
>> 
>> Now it would work for me to just multiply the miles by 0.55 and enter 
>> the dollar amount.  But I think the IRS wants to see the miles. 

>You could create a new commodity called "miles" and set its price to 55 
>cents per mile.  Then create an account in that commodity (or several 
>accounts if you want) and use it to keep track of the miles driven. 

1. I assume by "commodity" that I create a new "security"?
2. What type of security do I create?  I am assuming FUND for this.
3. Having created my security of type FUND(?) I need to create an account, what type of account should I use and what should be it's parent account?  Again I assume stock (or is it mutual fund?) as account type but is this an asset or a liability?
4. Now I have my mileage account I need to supply a balancing account for any transactions.  What should I supply as the transfer account?  Again I am assuming Equity:tax_Deductable_Mileage.
5. What do I do to balance the account at year end once I've filled in my tax form, if at all?


Regards Mike E