HMRC has published the advisory fuel rates to be used from 1 December 2013.
Advisory fuel rates are HMRC-approved rates which apply where employers reimburse employees for business travel in their company cars, and where employees reimburse the cost of fuel used for private travel in a company car. Using the advisory rates means there is no fuel benefit charge. HMRC will also accept the figures in the table for VAT purposes, though employers will need to retain receipts.
The new rates per mile are:
Engine size | Petrol | Diesel |
1400cc or less | 14p | 12p |
1401cc to 2000cc | 16p | 14p |
Over 2000cc | 24p | 17p |