Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

New fuel rates unveiled

04 December 2007
Categories: News , Employees , Income Tax , VAT
New advisory figures for company cars to apply from 1 January 2008 have been announced by HMRC

These figures give about one month's notice of the changes and apply to all journeys on or after 1 January 2008 until further notice:

1400cc or less      

  • Petrol - 11p  
  • Diesel - 11p
  • LPG - 7p

1401cc to 2000cc 

  • Petrol - 13p
  • Diesel - 11p
  • LPG - 8p

Over 2000cc 

  • Petrol - 19p  
  • Diesel - 14p
  • LPG - 11p

Petrol-hybrid cars are treated as petrol cars for this purpose.

HMRC will review the rates during a tax year only in the event of a variation in fuel prices of greater than 10% from the prices used at that time.

The figures in the table can be used for VAT purposes, although employers will need to retain receipts.


Categories: News , Employees , Income Tax , VAT
back to top icon