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Tax free mileage allowance – where sharing pays!

Most people will be aware that they can receive 45p per mile tax free for the first 10,000 business miles in your own car, and 25p per mile thereafter.

What most people won’t know however, is that you can receive a further 5p per mile for each employee you take in your car with you.

So, if you are regularly transporting employees around on business trips, then you could increase your tax free mileage rate to up to 60p per mile by transporting 3 employees with you.

If you would like to discuss the above, or any other accounting or taxation matter, then please don’t hesitate to contact the team at Townend English on 01759 305 989

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