Mileage and Fuel Allowances

If you are looking at mileage allowances for business use of employees’ own vehicles, and reviewing or planning your finances, please feel free to contact us. We can discuss your specific circumstances to help you plan tax efficiently.

Approved Mileage Rates:

From 2011/12	First 10,000 business miles in the tax year	Each business mile over 10,000 in the tax year
Cars and vans	45p	25p
Motor Cycles	24p	24p
Bicycles	20p	20p

Passenger Payments – Cars and Vans

5p per passenger per business mile for carrying fellow employees in a car or van on journeys which are also work journeys for them.

Only payments specifically for carrying passengers count and there is no relief if you receive less than 5p or nothing at all.

Advisory Fuel Rates:

From 1st December 2020

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	10p	7p
1401cc to 2000cc	11p	8p
over 2000cc	17p	12p
Engine Size	Diesel – amount per mile
1600cc or less	8p
1601cc to 2000cc	10p
over 2000cc	12p

From 1st September 2020

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	10p	7p
1401cc to 2000cc	12p	8p
over 2000cc	17p	12p
Engine Size	Diesel – amount per mile
1600cc or less	8p
1601cc to 2000cc	10p
over 2000cc	12p

From 1st June 2020

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	10p	6p
1401cc to 2000cc	12p	8p
over 2000cc	17p	11p
Engine Size	Diesel – amount per mile
1600cc or less	8p
1601cc to 2000cc	9p
over 2000cc	12p

From 1st March 2020

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	12p	8p
1401cc to 2000cc	14p	10p
over 2000cc	20p	14p
Engine Size	Diesel – amount per mile
1600cc or less	9p
1601cc to 2000cc	11p
over 2000cc	13p

From 1st December 2019

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	12p	8p
1401cc to 2000cc	14p	9p
over 2000cc	21p	14p
Engine Size	Diesel – amount per mile
1600cc or less	9p
1601cc to 2000cc	11p
over 2000cc	14p

From 1st September 2019

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	12p	8p
1401cc to 2000cc	14p	10p
over 2000cc	21p	14p
Engine Size	Diesel – amount per mile
1600cc or less	10p
1601cc to 2000cc	11p
over 2000cc	14p

From 1st June 2019

Engine Size	Petrol – amount per mile	LPG – amount per mile
1400cc or less	12p	8p
1401cc to 2000cc	15p	9p
over 2000cc	22p	14p
Engine Size	Diesel – amount per mile
1600cc or less	10p
1601cc to 2000cc	12p
over 2000cc	14p

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