HMRC’s advisory fuel rates have dropped.
The new rates, which began on March 1, 2019 only apply when you:
- Reimburse employees for business travel in their company cars
- Require employees to repay the cost of fuel used for private travel*
The rates for almost all cars and vans has fallen, diesel cars of up to 1,600cc and fully electric cars remain unchanged.
|Engine size||Petrol – amount per mile||LPG – amount per mile|
|1400cc or less||11p||7p|
|1401cc to 2000cc||14p||8p|
|Engine size||Diesel – amount per mile|
|1600cc or less||10p|
|1601cc to 2000cc||11p|
Note: You can use your own rates which better reflect your circumstances if, for example, your cars are more fuel efficient, or if the cost of business travel is higher than the guideline rates.*
For further information on company cars or any other tax matter contact Peter Way-Rider, tax manager at Ellis & Co Chartered Accountants and Business Advisers on 01244 343504.
*Figures from HMRC