Revised AFRs come into effect

HM Revenue and Customs has revised all bar one of its advisory fuel rates (AFRs) upwards.

HM Revenue and Customs has revised all bar one of its advisory fuel rates (AFRs) upwards.

The new reimbursement rates come into effect from Wednesday 1 June 2016. Rates for all diesel-powered vehicles have been increased by 1p per mile, while petrol bands have also been increased by 1p per mile, apart from the 1400cc or less category which remains the same at 10p per mile. Full details are available on the HMRC webpage.

The rates apply only where employers reimburse staff for business travel in their company cars or require them to repay the cost of fuel used for private travel. The rates apply to all journeys made on or after 1 June until further notice. However, for one month from the date of change, employers may choose to use either the previous or new rates.

 

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