News -

- March 2010

Compensation & Benefits: New company car mileage rates

From 1 December 2009, HMRC approved rates payable to an employee for use of a company car for business purposes have changed with immediate effect.

(HMRC explained that the one month’s prior notice previously given for such changes does not apply).

The new rates are as follows:

Engine size

Petrol

Diesel

LPG

Up to  1400cc

11p

11p

7p

1401-2000cc

14p

11p

8p

Over 2000cc

20p

14p

12p

HMRC confirms that petrol hybrid cars are treated as petrol cars for this purpose.

Resources

Company cars - advisory fuel rates

Rates and Allowances – travel

For further information or to discuss the issues raised, please contact Guy Abbiss (guy.abbiss@abbisscadres.com) or Libs Davies (libs.davies@abbisscadres.com) on +44 (0) 203 051 5711.