HM Revenue and Customs (HMRC) has made a last minute adjustment to its recently-announced Advisory Fuel Rates
HM Revenue and Customs (HMRC) has made a last minute adjustment to its recently-announced Advisory Fuel Rates for the next quarter, which take effect from March 1.
The rate for petrol-engined cars of over 2000cc has now been increased by 1p per mile to 22p. Originally, HMRC said that this rate had fallen 1p to 20p per mile.
All other rates remain unchanged as follows:
|1400cc or less||11p||7p|
|1401cc to 2000cc||14p||9p|
|1600cc or less||9p|
|1601cc to 2000cc||11p|
Hybrid cars are treated as either petrol or diesel cars for this purpose.
The company car advisory fuel rates are used by organisations to reimburse drivers for fuel used in incurring business, rather than private mileage. Companies can use the old rates for up to one month from the date the new rates apply.
The rates are based on current petrol and diesel prices from the Department for Energy and Climate Change, with the LPG taken from the UK average price from the AA website in the previous month.