A number of employers and their employees make use of the advisory fuel rates published by HM Revenue & Custom. These rates apply were the employer:
- Reimburses their employees for business travel in a company car where the employer does not provide fuel, or
- Requires its employees to reimburse the cost of fuel provided that has been used for personal travel, potentially avoiding a private fuel benefit charge.
HMRC will also accept the figures for VAT purposes though employers will need to retain receipts in line with current legislation.
Since March 2011 the rates have been reviewed four times a year. Any changes take effect at the beginning of each calendar quarter - on 1st March, 1st June, 1st September and 1st December and are published on the HM Revenue & Customs (HMRC) website shortly before the date of change.
A copy of the recent advisory rates are available by following the link below:
More information is also available on the Government website: