VAT – New company car fuel rates

By   31 May 2016

Advisory fuel rates from 1 June 2016

HMRC have published the new rates which apply from 1 June 2016. These rates apply to employees using a company car and HMRC will also accept them for VAT purposes. 

Engine size Petrol – amount per mile LPG – amount per mile
1400cc or less 10 pence 7 pence
1401cc to 2000cc 13 pence 9 pence
Over 2000cc 20 pence 13 pence
Engine size Diesel – amount per mile
1600cc or less 9 pence
1601cc to 2000cc 10 pence
Over 2000cc 12 pence

Hybrid cars are treated as either petrol or diesel cars for this purpose.

HMRC website here