New advisory fuel rates for company cars
Advisory fuel rates only apply to employees using company cars.
Rates came into effect on 1 September
HMRC has published new advisory fuel rates for employees using company cars.
The rates came into effect on 1 September but the guidance states: 'You can use the previous rates for up to one month from the date the new rates apply.'
Advisory fuel rates only apply when you reimburse employees for business travel in company cars, or when employees are required to repay the cost of fuel used for private travel. The rates must not be used in any other circumstances.
The new rates are as follows:
| 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 |
For further information please see: https://www.gov.uk/government/publications/advisory-fuel-rates/when-you-can-use-advisory-fuel-rates
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