Tax & Accounting News

Mileage Allowances

22/03/2007

Changes to the HM Revenue & Customs business mileage rates are announced from time to time.

The current effective rates from 1 February 2007 are:

Vehicle	First 10,000 miles	Thereafter
Car / Van	40p	25p
Motorcycle	24p	24p
Bicycle	20p	20p

Car – fuel only advisory rates
Engine capacity	Petrol	Diesel	LPG
up to 1400cc	9p	9p	6p
1401 - 2000cc	11p	9p	7p
Over 2000cc	16p	12p	10p

The HM Revenue & Customs advisory rates can be applied as a tax-free maximum rate for employees claiming for petrol used on business journeys and for employees reimbursing their employers with the cost of petrol used for private journeys. HM Revenue & Customs will consider claims for a higher maximum rate, if it can be demonstrated that it is necessary for an employee to use a car with higher than average fuel costs.

 

21 March 2007 Budget Report
Budget Highlights
Business Taxation
Business Incentives
Company Cars
Company Vans
Mileage Allowances
Value Added Tax
Personal Taxation
National Insurance Contributions
Personal Savings
Capital Taxes
Excise Duties
Stamp Duties
Other Measures Announced

 

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