Calculate business mileage reimbursement using HMRC Approved Mileage Allowance Payments (AMAPs). Find tax-free amounts and Mileage Allowance Relief.
For 2025/26, HMRC Approved Mileage Allowance Payment (AMAP) rates are: Cars and vans — 45p per mile for the first 10,000 miles, 25p per mile thereafter; Motorcycles — 24p per mile; Bicycles — 20p per mile. These rates are tax-free and have not changed since 2011/12.
Mileage Allowance Relief (MAR) is a tax relief you can claim if your employer pays you less than the HMRC approved rate for business mileage, or pays nothing at all. The shortfall between what you receive and the AMAP rate is tax-deductible. Claim via P87 form or Self Assessment. A basic rate taxpayer claiming 12,000 miles at 45p with no employer payment could save £1,080 in tax.
No — ordinary commuting (from your home to your regular workplace) is not classed as business travel and cannot be claimed. You can only claim for travel from your regular workplace to a temporary workplace, travel between workplaces, or travel from home to a temporary workplace (when not your base of work).
If your employer pays more than the HMRC approved mileage rate, the excess is taxable as employment income and subject to income tax and National Insurance. Most employers pay exactly the AMAP rate to keep the payments tax-free for employees.
Yes — HMRC's AMAP rate of 45p per mile applies to electric vehicles as well as petrol, diesel, and hybrid cars. There is no separate rate for EVs under AMAP. However, for employer-provided electric vehicles, there is an Advisory Electric Rate (AER) of 7p per mile (from December 2023) for reimbursement of electricity used for business travel.