The following rates represent the maximum tax free mileage allowances for employees using their own vehicles for business use. Any excess is taxable. If the employee receives less than the statutory rate, they can claim tax relief on the difference.

Tax – Rates per business mile

Type of vehicle                First 10,000 miles     Above 10,000

Cars and vans                      45p                                   25p

Motorcycles                         24p                                   24p

Cycles                                  20p                                   20p