Mar 2021

3

New Advisory Fuel Rates from 1st March 2021

The latest Advisory Fuel Rates that will come into effect from 1st March 2021 for company cars has been advised by HMRC. Employers may use the old rates for up to one month from the date the new rates apply. Employers are under no obligation to make supplementary payments to reflect the new rates but can do so if they wish. Hybrid cars are treated as either petrol or diesel cars for this purpose for the fuel rates. For fully electric cars, the Advisory Electricity Rate is 4 pence per mile. However, electricity is not a fuel for car fuel benefit purposes. Click here to see all details per HMRC.

 Engine size  Petrol - amount per mile  LPG - amount per mile
 1400cc or less  10 pence  7 pence
 1401cc to 2000cc  12 pence  8 pence 
 Over 2000cc  18 pence  12 pence

 

 Engine size  Diesel - amount per mile
 1600cc or less  9 pence
 1601cc to 2000cc  11 pence
 Over 2000cc  12 pence

 

Related Articles:

Posted byDebbie ClarkeinHMRC