News

New rates of business mileage to be backdated to 06 April 2026.

The Government announced on 21 May 2026 an increase in tax allowable Business Mileage Rates which apply to the following:

·         Approved Mileage Allowance Payments (AMAPs), paid to employees undertaking business journeys in their own vehicles on behalf of their employers;

·         Mileage Allowance Relief (MAR) which is tax relief claimed by employees for business journeys where their employer pays less than the AMAPs;

·         Self- Employed mileage for business journeys undertaken.

As of 06 April 2026 for the 2026/27 tax year the new rates will be:

·         55 pence (previously 45 pence) per mile for the first 10,000 miles;

·         25 pence (previously 25 pence) per mile for any miles over 10,000 miles.

The Government’s backdating of the change to 06 April 2026 means that any claims predating 21 May 2026 will need to be recalculated.

Foremans clients do not need to worry as we will be calculating and backdating all mileage claims to 06 April 2026 for them.

Please do not hesitate to contact us if you have any questions or need any help.