Company cars: Advisory Fuel Rates (AFRs)
Use AFRs to work out mileage costs if you provide company cars to your employees.
The rates below apply from 1 March 2018.
|Engine size||Petrol – amount per mile||LPG – amount per mile|
|1400cc or less||11 pence||7 pence|
|1401cc to 2000cc||14 pence||8 pence|
|Over 2000cc||22 pence||13 pence|
|Engine size||Diesel – amount per mile|
|1600cc or less||9 pence|
|1601cc to 2000cc||11 pence|
|Over 2000cc||13 pence|
Hybrid cars are treated as either petrol or diesel cars for this purpose.
Employee vehicles: Mileage Allowance Payments (MAPs)
MAPs are what you pay your employees for using their own vehicle for business journeys.
You can pay your employees an approved amount of MAPs each year without having to report them to HMRC. To work out the approved amount, multiply your employee’s business travel miles for the year by the rate per mile for their vehicle.
Find out more about reporting and paying MAPs.
|Type of vehicle||Rate per business mile 2018 to 2019|
|Car||For tax purposes: 45 pence for the first 10,000 business miles in a tax year, then 25 pence for each subsequent mile
For National Insurance purposes: 45 pence for all business miles
|Motorcycle||24 pence for both tax and National Insurance purposes and for all business miles|
|Cycle||20 pence for both tax and National Insurance purposes and for all business miles|