Unless the employee is reimbursed at a rate higher than the appropriate Approved Mileage Allowance Payments (AMAPs), the payments do not need to be reported on the employees P11D. If the employer pays less than these rates, it is possible for the employee to claim income tax relief for the shortfall.
Rates of up to 5p per mile, per passenger, are also tax and NICs free when paid for the carriage of fellow employees on the same business trip.
For drivers using their own cars on work business
| Vehicle | First 10,000 business miles in the tax year | Each business mile over 10,000 miles in the tac year |
|---|---|---|
| Cars and Vans | 45p | 25p |
| Motorbikes | 24p | 24p |
| Bicycles | 20p | 20p |