Keeping accurate mileage records matters. Whether you run a business or claim mileage as part of your role, getting this right helps make sure your claims meet HMRC requirements.
At GreenStones, we’ve made this simple. Our mileage recorder gives you an easy and organised way to track your business journeys without the hassle.
For the 2026/2027 tax year, HMRC mileage and fuel guidance remains the key reference point when recording your business journeys correctly.
When Can the Mileage Rates Be Used?
| Rates can be used when: | What this means |
| Reimbursing a team member for business travel in a company car. | There’s no taxable profit if the mileage rate you pay is no higher than the advisory fuel rate. If your car is less fuel efficient and your actual business travel costs are higher, you can use your own rates instead. If you can’t justify that your travel costs are higher than the advisory rates, a fuel benefit charge may apply. |
| A team member needs to repay the fuel cost for private travel. | There’s no fuel benefit charge if private mileage is recorded correctly and your team member repays the full cost using the correct rates. You don’t have to use the advisory rates if you can show that the full cost of private fuel is repaid, even if your mileage rate is lower. |
HMRC Advisory Fuel Rates
HMRC publishes Advisory Fuel Rates (AFR) which can be used when reimbursing team members for business travel in company cars.
These rates are reviewed regularly and depend on the engine size and fuel type of the vehicle.
For example, one of the advisory petrol rates is currently:
- 14p per mile for petrol vehicles up to 1400cc
These rates are designed to help businesses calculate a reasonable fuel reimbursement amount without creating additional tax liabilities.
You can view the full list of current fuel rates on the HMRC website.
HMRC Mileage Allowance Rates
When team members use their own personal vehicles for business travel, HMRC allows businesses to reimburse mileage using Approved Mileage Allowance Payments (AMAP).
The commonly used rates are:
- 45p per mile for the first 10,000 miles
- 25p per mile for each mile after 10,000
- 5p per mile extra for each additional passenger travelling for business
These rates are intended to cover the overall cost of running a vehicle, including fuel, servicing, and wear and tear.
Recording Your Mileage
It’s a simple process. For each business journey you should record:
- Date of the journey
- Start and end location
- Reason for travel
- Number of passengers
- Number of miles travelled
Keeping consistent records helps businesses track travel costs and provides clear evidence if records are ever reviewed.
When to Check the Rates
HMRC reviews the advisory fuel rates every quarter, so it is important to check regularly for any updates.
HMRC normally reviews the rates on the following dates:
- 01 March
- 01 June
- 01 September
- 01 December
Using the GreenStones Mileage Recorder
At GreenStones, we provide a simple mileage recorder that allows businesses and team members to record their journeys clearly and efficiently.
The recorder makes it easier to:
- Track business travel
- Record mileage accurately
- Provide information needed for accounting and tax purposes
If you would like to join the many GreenStones customers providing their mileage details to us in this easy to use format, please contact the team on 01733 371180 and they can provide you with a copy.