Mileage Tax Calculator
If your employer pays less than HMRC's mileage rates, you can claim tax relief on the difference. Quick calc here.
Your mileage
Claim mileage relief on Self Assessment
For under £2,500 of expenses, P87 is enough — we can also do this for free as part of any SA filing.
What is the AMAP rate?
HMRC's Approved Mileage Allowance Payments (AMAP) are tax-free reimbursement rates employers can pay employees for using their own vehicle on business. The rates haven't changed since 2011 — they're generous below 10,000 miles, less so above.
AMAP rates 2025/26
| Vehicle | First 10,000 miles/year | Above 10,000 miles |
|---|---|---|
| Cars and vans | 45p/mile | 25p/mile |
| Motorcycles | 24p/mile | 24p/mile |
| Bicycles | 20p/mile | 20p/mile |
If your employer reimburses you at less than these rates, you can claim tax relief on the shortfall — at your marginal rate.
Business vs commuting
HMRC distinguishes:
- Business mileage — site-to-site, customer visits, training. Eligible for relief.
- Commuting — home to your "permanent workplace". NOT eligible.
- Temporary workplace — under 24 months at one site. Travel here is business.
Self-employed: travel between your home (used as a base) and customers is generally business. Site-to-site is always business.
Claim tax relief on shortfall
- Employees with under £2,500 of total job expenses — file Form P87 (no need for Self Assessment)
- Employees with £2,500+ expenses — file Self Assessment
- Self-employed — claim mileage as a normal business expense via SA103
- Backdate up to 4 years if you didn't claim previously
- Keep a logbook — date, distance, purpose. HMRC may ask for it.
What this calculator does and doesn't do
- HMRC AMAP rates: 45p/mile first 10,000 business miles, 25p/mile above (cars and vans)
- If your employer pays less, you claim tax relief on the shortfall × your marginal rate
- Employees claim via P87 form (under £2,500) or Self Assessment
- Different rates: 24p/mile motorcycles, 20p/mile bicycles
If you found this useful
Stop dreading tax. Start ignoring it.
Get a fixed-fee quote in 60 seconds. No signup, no card, no sales call. We'll just tell you what it'll cost and how fast we can file it.