Tax Mileage Calculator UK 2025/26

Quick answer: HMRC AMAP rates 2025/26: 45p/mile cars/vans (first 10,000), 25p/mile thereafter, 24p/mile motorcycles, 20p/mile bicycles. Claim tax relief on the gap if your employer pays less.

Reviewed by Mustafa Bilgic · UK Calculator Editor · Updated May 2026

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If you drive your own car for work (excluding commuting), HMRC lets you claim Approved Mileage Allowance Payments (AMAP). Tax-free up to set rates — and if your employer pays less, you can claim the difference as tax relief on your Self Assessment or P87.

Annual gross salary (£)

How tax mileage calculator works in 2025/26

HMRC AMAP rates 2025/26 (unchanged since 2011):

Cars and vans: 45p/mile for first 10,000 business miles per tax year
Cars and vans: 25p/mile for each additional mile after 10,000
Motorcycles: 24p/mile (no threshold)
Bicycles: 20p/mile (no threshold)
Passenger payment: 5p/mile per fellow employee

If your employer pays AMAP, the payment is tax-free. If they pay LESS, you can claim tax relief on the difference (your tax rate × shortfall). If they pay MORE, the excess is taxable as benefit-in-kind.

Self-employed: Same AMAP rates apply when claiming car costs against business profits via "simplified expenses" method (alternative: actual costs × business %).

Worked example: Sales rep 12,000 business miles, employer pays 30p/mile

AMAP: 10,000 × 45p + 2,000 × 25p = £4,500 + £500 = £5,000. Employer pays £3,600. Shortfall £1,400. Basic rate (20%) tax relief = £280/year claim.

Gross: £35,000 → Take-home: £28,919.60/year (£2,409.97/month)

Worked example: Self-employed 8,000 business miles (full deduction)

8,000 × 45p = £3,600 deductible from profit. Saves £720 tax (20%) or £1,440 (40%).

Gross: £45,000 → Take-home: £35,919.60/year (£2,993.30/month)

Worked example: Motorcycle commuter 5,000 business miles

5,000 × 24p = £1,200. If employer pays nothing, claim full £1,200. Higher-rate tax relief = £480/year.

Gross: £55,000 → Take-home: £42,419.60/year (£3,534.97/month)

Frequently asked questions

What counts as business mileage?

Business mileage is travel BETWEEN workplaces or to a temporary workplace (lasting <24 months). Commuting (home to your regular workplace) is NOT business mileage. Travel to client sites, between offices, to training courses, or to temporary projects qualifies.

Can I claim AMAP for using my own car for charity work?

Volunteer driving for registered charities can be reimbursed at AMAP rates tax-free, but you cannot claim tax relief if the charity doesn't pay. Some specific volunteer schemes (NHS volunteer drivers) have separate arrangements.

What's the difference between AMAP and AFR?

AMAP (Approved Mileage Allowance Payments) is for using your OWN car for business. AFR (Advisory Fuel Rates) is for COMPANY cars and only covers fuel — currently 7p-23p/mile depending on engine size and fuel type. Use the right one for your situation.

How do I claim mileage tax relief?

Three options: (1) gov.uk/claim-tax-relief-expenses online (preferred for under £2,500), (2) Form P87 by post, (3) include in Self Assessment if you file a return. Tax relief is given by adjusting your tax code or via cheque/BACS refund for backclaims.

Can I backclaim mileage from previous years?

Yes — up to 4 prior tax years. As of May 2026, you can claim 2021/22, 2022/23, 2023/24, 2024/25. After 5 April 2026 the 2021/22 claim window closes permanently.

Are passenger payments separate?

Yes — 5p/mile per qualifying fellow employee on the same business journey. Employer can pay tax-free, employee gets no deduction (so if employer doesn't pay, you cannot claim relief).

What records do I need?

Keep a mileage log: date, start location, destination, purpose, business miles, fuel/parking receipts (for actual costs method only). HMRC may ask for evidence — keep records for 6 years.

Official UK Sources

Last reviewed: May 2026 against HMRC 2025/26 rates.

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