‘Advisory Fuel Rates’

Advisory fuel rates from 1 September 2019

Thursday, September 12th, 2019

Advisory fuel rates from 1 September 2019

The advisory fuel rates for claiming back mileage in a company car from 1 September 2019 are as follows:

Engine size                       Petrol – amount per mile            LPG – amount per mile

1400cc or less                     12 pence                                                   8 pence

1401 to 2000cc                   14 pence                                                   10 pence

Over 2000cc                        21 pence                                                  14 pence

 

Engine size                         Diesel – amount per mile

1600cc or less                        10 pence

1601 to 2000cc                      11 pence

Over 2000cc                          14 pence

For the purposes of claiming back mileage, hybrid cars can be treated as either petrol or diesel. The above rates apply from 1 September 2019 but you can use the previous rates up to 30 September 2019 if desired. It is not compulsory to use the above rates but if they are applied, there is no charge to Income Tax or NIC on amounts paid to employees.

Advisory Electricity Rate

For fully electric cars, employees can claim back 4 pence per mile when using the car for business purposes. Electricity is not classed as a fuel for car fuel benefit purposes. This new rate can be claimed from 1 September 2018.

Considerations

Given the government’s changing stance on company car taxation and the move towards ‘greener’ cars, it is often worth revisiting which car you drive or which cars you offer in the company car fleet. There are tax considerations for both the employer and employee who will be keen to optimise the tax position whist driving cars that fit the purposes of the business/individual.

If you are thinking about your options, we can explain them to you and help you understand which course of action might ‘tick the boxes’. It is important that all aspects are considered, not just tax, so that an informed decision is made.

If this is an area you’d like help with, please contact Helen Sewell on 01527 558539 or [email protected]  Helen is experienced in all matters of employer and employee taxation, such as benefits in kind, payroll and also personal taxation.

Advisory fuel rates

Advisory fuel rates from 1 March 2019

Wednesday, February 27th, 2019

Advisory fuel rates from 1 March 2019

The advisory fuel rates for claiming back mileage in a company car from 1 March 2019 are as follows:

Engine size                       Petrol – amount per mile            LPG – amount per mile

1400cc or less                     11 pence                                                   7 pence

1401 to 2000cc                   14 pence                                                   8 pence

Over 2000cc                        21 pence                                                  13 pence

 

Engine size                         Diesel – amount per mile

1600cc or less                        10 pence

1601 to 2000cc                      11 pence

Over 2000cc                          13 pence

For the purposes of claiming back mileage, hybrid cars can be treated as either petrol or diesel. The above rates apply from 1 March 2019 but you can use the previous rates up to 31 March 2019 if desired. It is not compulsory to use the above rates but if they are applied, there is no charge to Income Tax or NIC on amounts paid to employees.

Advisory Electricity Rate

For fully electric cars, employees can claim back 4 pence per mile when using the car for business purposes. Electricity is not classed as a fuel for car fuel benefit purposes. This new rate can be claimed from 1 September 2018.

Considerations

Given the government’s changing stance on company car taxation and the move towards ‘greener’ cars, it is often worth revisiting which car you drive or which cars you offer in the company car fleet. There are tax considerations for both the employer and employee who will be keen to optimise the tax position whist driving cars that fit the purposes of the business/individual.

If you are thinking about your options, we can explain them to you and help you understand which course of action might ‘tick the boxes’. It is important that all aspects are considered, not just tax, so that an informed decision is made.

If this is an area you’d like help with, please contact Helen Sewell on 01527 558539 or [email protected]  Helen is experienced in all matters of employer and employee taxation, such as benefits in kind, payroll and also personal taxation.

Advisory fuel rates

Advisory fuel rates from 1 Dec 2017

Thursday, January 18th, 2018

Advisory fuel rates from 1 December 2017

There are new rates applicable from 1 December when claiming back business mileage using a company car.

The previous rates can be used up until 31 December 2017.

From 1 December 2017, the rates are as follows:

Engine size                          Petrol – amount per mile             LPG – amount per mile

1400cc or less                     11 pence                                              7 pence

1401cc to 2000cc               14 pence                                              9 pence

Over 2000cc                        21 pence                                              14 pence

 

For Diesel cars, the rates are:

Engine size                          Diesel – amount per mile            

1600cc or less                     9 pence

1601cc to 2000cc               11 pence

Over 2000cc                        13 pence

 

For drivers of hybrid cars, these can be treated as either petrol or diesel for the purposes of claiming back mileage.

If you would like to discuss this or any other business-expense related matter, please contact Helen Sewell on 01527 558539 or [email protected]

Advisory fuel rates from 1 December 2017

We offer a range of services to help employers and employees understand their tax an accounting obligations. Please read on to find out how we can help you and your business.

Link to HMRC website pages specifying the rules around mileage in company cars.

Advisory fuel rates – Dec 2016

Monday, December 5th, 2016

Advisory fuel rates from 1 December 2016

There are new rates applicable from 1 December when claiming back business mileage using a company car.

The previous rates can be used up until 31 December 2016.

From 1 December 2016, the rates are as follows:

 

Engine size                          Petrol – amount per mile             LPG – amount per mile

1400cc or less                     11 pence                                              7 pence

1401cc to 2000cc               14 pence                                              9 pence

Over 2000cc                        21 pence                                              13 pence

 

For Diesel cars, the rates are:

 

Engine size                          Diesel – amount per mile            

1600cc or less                     9 pence

1601cc to 2000cc               11 pence

Over 2000cc                        13 pence

 

For drivers of hybrid cars, these can be treated as either petrol or diesel for the purposes of claiming back mileage.

If you would like to discuss this or any other business-expense related matter, please contact Helen Sewell on 01527 558539 or [email protected]

fuel-pumps

Advisory fuel rates – Sep 2016

Thursday, September 29th, 2016

For employees claiming back mileage when using a company car, the advisory fuel rates from 1 September 2016 are below. Note employees can use the previous rates up to 30 September 2016.

Hybrid cars can be treated as either diesel or petrol for the purposes of claiming back mileage.

Engine size                     Petrol – amount per mile                LPG – amount per mile

1400cc or less                11 pence                                              7 pence

1401cc to 2000cc          13 pence                                              9 pence

Over 2000cc                  20 pence                                             13 pence

 

Engine size                     Diesel – amount per mile

1600cc or less                9 pence

1601cc to 2000cc          11 pence

Over 2000cc                  13 pence

fuel-pumps

Advisory fuel rates from 1 March 2016

Thursday, March 10th, 2016

If you’re an employee using a company car on a business trip, you’ll need to claim back mileage at the correct rates.

Here are the rates to use from 1 March 2016. The previous fuel rates can be used up to 31 March 2016. If your car is a hybrid, you can treat it as either petrol or diesel for the purposes of claiming back mileage.

 

Engine size Petrol – amount per mile LPG – amount per mile
1400cc or less 10 pence 7 pence
1401cc to 2000cc 12 pence 8 pence
Over 2000cc 19 pence 13 pence
Engine size Diesel – amount per mile
1600cc or less 8 pence
1601cc to 2000cc 10 pence
Over 2000cc 11 pence

Advisory fuel rates from 1 December 2015

Monday, December 7th, 2015

If you’re an employee using a company car on a business trip, you’ll need to claim back mileage at the correct rates.

Here are the rates to use from 1 December 2015. The previous fuel rates can be used up to 31 December 2015. If your car is a hybrid, you can treat it as either petrol or diesel for the purposes of claiming back mileage.

 

Engine size Petrol – amount per mile LPG – amount per mile
1400cc or less 11 pence 7 pence
1401cc to 2000cc 13 pence 9 pence
Over 2000cc 20 pence 13 pence
Engine size Diesel – amount per mile
1600cc or less 9 pence
1601cc to 2000cc 11 pence
Over 2000cc 13 pence

.

Advisory fuel rates from 1 September 2015

Thursday, September 24th, 2015

As of 1 September 2015, the advisory fuel rates when claiming business mileage are found below. They apply to employees using a company car.

For advice on fuel rates or any other employee/employer taxation issues, please contact [email protected] or call Helen on 01527 558539.

Engine size Petrol – amount per mile LPG – amount per mile
1400cc or less 11 pence 7 pence
1401cc to 2000cc 14 pence 9 pence
Over 2000cc 21 pence 14 pence
Engine size Diesel – amount per mile
1600cc or less 9 pence
1601cc to 2000cc 11 pence
Over 2000cc 13 pence

.

Advisory fuel rates – from 1 June 2015

Monday, June 8th, 2015

The advisory fuel rates for employees using a company car on business journeys are as follows:

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                      10p

1601cc to 2000cc                12p

Over 2000cc                         14p

The previous rates can be used up to the end of June 2015.

Please email [email protected] to understand how to apply these rates and for any other BIK/PAYE related queries..

Advisory fuel rates from 1 March 2015

Monday, March 2nd, 2015

From 1 March 2015, the advisory fuel rates for employees using a company car are as follows:

 

Engine size                         Petrol                   LPG

1400cc or less                     11p                         8p

1401cc to 2000cc               13p                         10p

Over 2000cc                        20p                         14p

 

Engine size                         Diesel

1600cc or less                     9p

1601cc to 2000cc               11p

Over 2000cc                        14p

 

Hybrid cars are treated as either diesel or petrol for the purpose of these calculations.

The previous advisory fuel rates can be used up to the end of March 2015.

 

If you’d like advice regarding application of these rates, or any other employee/employer taxation issues, please contact [email protected] or call Helen on 01527 558539..