Mileage and Fuel Allowance

If you are looking at company car and fuel benefits, and reviewing or planning your finances, please feel free to contact us. We can chat through your specific circumstances to help you plan your tax efficiently.

Approved mileage rates:

From 2002/2003 to 2010/2011 First 10,000 business miles in the tax year Each business mile over 10,000 in the tax year
Cars and Vans 40p 25p
Motorcycles 24p 24p
Bicycles 20p 20p

Approved Mileage rates:

From 2011/2012  First 10,000 business miles in the tax year Each business mile over 10,000 in the tax year
Cars and Vans 45p 25p
Motorcycles 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 recieve less than 5p or nothing at all.

Company Cars

The charge is based on the price of the car for tax purposes (normally the list price) and accessories multiplied by an appropriate percentage based on the level of CO2 emissions and the fuel the car uses.

Company Vans

The rules on which the charge is based were changed from 2005/2006. The charges are:

Type Years from 2007/08 to 2013/14 2014/15 2015/16
all vans £3,000 £3,090 £3,150

Fuel Charges – Company Cars and Vans

Cars: to calculate the benefit charge on free or subsidised fuel for private use, the appropriate percentage used in calculating car benefit is multiplied by a set figure for the tax year. The set figure is £18,800 for 2011/12 £20,200 for 2012/13, £21,100 for 2013/14, £21,700 for 2014/15 and £22,100 for 2015/16/

Vans: the fuel charge began in 2005-2006 the current figures are £550 for 2011/12 £550 for 2012/13 £564 for 2013/14 £594 for 2015/16.

Please contact us for more information.