New Advisory fuel rates

My employees have company cars, what are the new advisory fuel rates that they should be using to repay private fuel costs?

1st January 2020

HMRC has published revised advisory fuel rates for company cars, applying from 1st December 2019. The rates are to be used only where employers either reimburse employees for business travel in their company cars, or require employees to repay the cost of fuel used for private travel.

These rates apply from 1st December 2019. You can use the previous rates for up to one month from the date the new rates apply.

Engine size

Petrol - amount per mile

LPG - amount per mile

1400cc or less

12 pence

8 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

14 pence

 

Hybrid cars are treated as either petrol or diesel cars for this purpose.

The Advisory Electricity Rate for fully electric cars is 4 pence per mile.

If you require any help with this, please feel free to contact your TaxAssist Accountants office on 0800 0523 555 or enquire online here.

By Samantha Skyring FCCA

Disclaimer: The information provided is based on current guidance (at date of publication) from HMRC and may be subject to change. Any advice shared here is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this information, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.

Call us today to make an appointment at your local office

0800 0523 555

Or submit an enquiry