HMRC INCREASE TAX EXEMPT MILEAGE ALLOWANCES
07/06/2011
Business mileage allowance increases to 45p per mile
In recognition of rising fuel prices HMRC has increased tax exempt mileage allowances for employees using their own cars on business. With effect from 6th april 2011 the mileage rate has increased from 40p to 45p per business mile for the first 10,000 miles per annum, and 25p a mile thereafter (no change). Motorcycle and cycle rates are unchanged at 24p and 20p respectively. You may be interested to know that HMRC last increased the allowances in 2002-3.