Advisory Fuel Rates

Advisory Fuel Rates

If you have considered the tax implications of running a company car through your business (please see our article 'Company Car vs Private Car'), and have decided to proceed with a company vehicle, there are two levels of benefit in kind depending on the option you choose relating to fuel.

If you pay for private fuel personally and claim business mileage for trips undertaken in your company car, the benefit in kind liability will be lower. In this situation, the mileage allowance that can be claimed will be in accordance with HMRC's Advisory Fuel Rates.
​
Please see this link to HMRC for guidance in this matter:


    • Related Articles

    • Electric cars

      Electric cars – Updated 20.05.24 Please contact your account manager to discuss if an electric vehicle is tax efficient for you before you proceed. Financing options Please see our article here for the different options on buying a vehicle. Low ...

    • Introduction to Capital Gains Tax

      Capital gains Introduced in 1965, Capital Gains Tax (CGT) is a tax on the gains made on the disposal of assets made by UK taxpayers. There are some exemptions, particularly surrounding land and property. All land and property are subject to UK CGT ...

    • Investing in a property via a Company

      Investing in property via a Company There are various advantages and disadvantages of using a Special Purpose Vehicle company (SPV) to purchase a property. Most of them depend on your current marginal tax rate. If you are a basic rate taxpayer or ...

    • Ceasing to trade

      If you are ceasing to trade, then there are various options for your limited company: - 'On hold' - Dormancy - Investment - Striking off Further information on each of these options is detailed below: 'On hold' If the cessation of trade is temporary, ...

    • Limited Company vs Sole Trader or Partnership vs Limited Liability Partnership

      COMPARISON OF LIMITED COMPANY, SOLE TRADER OR PARTNERSHIP AND LIMITED LIABILITY PARTNERSHIP Limited Company Sole Trader / Partnerships Limited Liability Partnerships A limited company is a separate legal entity. No distinction between you and your ...