Has anyone challenged the HMRC's 11p a mile for company cars

[Deangtv]

I was doing a little man maths over the weekend after being a little hard done by with the poxy 11p a mile HMRC allow as tax relief on company cars drivers.

I do a fair few business miles a month, around 1000 visiting different sites around the south-east. Now a lot of my driving is across towns and some motorway driving. As I have a newish car I can see that my car has averaged 42mpg since new. Granted some trips were more efficient than others.

This is some way off the 60mpg I'd have to achieve to even break even at current pump prices.

Having done some man maths, and based on the above I've calculated that I'm around £800 out of pocket over the last 2 years in mileage claims.

So my question stands, has anyone put the question to HMRC that the current rate of tax relief and got a bit of cash back in return??

[markiii]

HMRC mileage rates haven't gone up in years

11p was the norm back in 2001 IIRC

good luck with that

[oyster]

Deangtv said:

I was doing a little man maths over the weekend after being a little hard done by with the poxy 11p a mile HMRC allow as tax relief on company cars drivers.

I do a fair few business miles a month, around 1000 visiting different sites around the south-east. Now a lot of my driving is across towns and some motorway driving. As I have a newish car I can see that my car has averaged 42mpg since new. Granted some trips were more efficient than others.

This is some way off the 60mpg I'd have to achieve to even break even at current pump prices.

Having done some man maths, and based on the above I've calculated that I'm around £800 out of pocket over the last 2 years in mileage claims.

So my question stands, has anyone put the question to HMRC that the current rate of tax relief and got a bit of cash back in return??

Using real maths.....
So you've lost £800 in 2 years, let's say that's £400 in each year.
And assume you're a 40% taxpayer - that's a tax relief loss of £1,000 each year.

Assume 12,000 business miles per year (you say 1,000 per month) - that's 8.3p tax relief loss per mile. Which means your fuel use is 19.3p per mile.
19.3p per mile at the 42mpg you average means an average fuel price of £1.78 a litre.
Something doesn't add up.

If you're a 20% taxpayer it means on your figures you're paying £2.55 a litre!!!

[Somebody]

It's only 11p per mile for a petrol engine under 1,400 cc...

https://www.gov.uk/government/publications/advisor...

[The Ferret]

Somebody said:

It's only 11p per mile for a petrol engine under 1,400 cc...

https://www.gov.uk/government/publications/advisor...

at 42mpg my bet is he'll be in a 2.0 diesel, so 11p is correct.