Advisory Fuel Rates for
Company Cars
HMRC have announced new rates
for journeys on or after 1 July 2006. These rates
apply to company car drivers who are reimbursed
for business miles driven. The rates can also
be used by company car drivers who claim all
their fuel costs and then reimburse their employer
for their private mileage.
| Engine Size |
Petrol |
Diesel |
LPG |
| 1400cc or less |
11p (10p) |
10p (9p) |
7p (7p) |
| 1401cc to 2000cc |
13p (12p) |
10p (9p) |
8p (8p) |
| Over 2000cc |
18p (16p) |
14p (13p) |
11p (10p) |
Employers can increase the rates paid to the
above amounts without having to agree them with
HMRC.
There has been no increase to the 40p a mile
rate which applies to the first 10,000 business
miles driven by an employee in their own car.
The employee car rate drops to 25p per mile after
10,000 miles.
Internet link:
HMRC website
|
