How much can an employee or director claim for mileage?

Published Monday, 6th July 2020

Mileage Allowance Payments (MAPs) are what you pay an employee or director for using their own vehicle for business journeys.

A business can pay an employee or director a certain amount of MAPs each year without having to report them to HMRC. This is called an ‘approved amount’.

To calculate the ‘approved amount’, multiply the individual’s business travel miles for the year by the rate per mile for their vehicle.


Tax: rates per business mile

Cars and vans
First 10,000 miles: 45p
Above 10,000 miles: 25p

Motorcycles
First 10,000 miles: 24p
Above 10,000 miles: 24p

Bikes
First 10,000 miles: 20p
Above 10,000 miles: 20p

The business should ensure that the following records are kept supporting each claim:

  • A log of the date of each journey and location
  • The number of business miles driven


Advice and guidance can vary on a case by case basis so if you would like to obtain further information, including an answer tailored to your specific circumstances, please do get in touch and we would be more than happy to help.

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