Business Mileage Calculator
Calculate your tax-deductible business mileage using HMRC AMAP rates (UK) or the IRS standard mileage rate (US). Covers cars, motorcycles, and bicycles.
Business Mileage Calculator
IRS mileage deduction rates
Only include miles driven for business purposes, not commuting.
Typical: 48 weeks (accounting for holidays).
Annual Mileage Deduction
$3,216.00
4,800 business miles at IRS rates
4,800
business miles
$3,216.00
claimable amount
$707.52
estimated saving
$268.00
deduction per month
IRS Rate Breakdown
US vs UK Rate Comparison
How to Use This Calculator
Select your vehicle type (car, motorcycle, or bicycle) and toggle the electric vehicle option if applicable.
Enter your weekly business miles. Only include miles driven for business purposes, not commuting between home and your regular workplace.
Adjust working weeks per year to account for holidays and time off. The default of 48 weeks is typical for most workers.
Switch currency to GBP for UK HMRC rates or USD for US IRS rates. The calculator automatically applies the correct rates for each country.
Understanding Your Results
The Annual Mileage Deduction is the total amount you can claim against your taxable income. In the UK this is your AMAP claim; in the US it is your standard mileage deduction.
Estimated Tax Saving shows what the deduction is worth in actual tax reduction, calculated at the basic/standard marginal tax rate. Higher rate taxpayers will save more.
The Rate Breakdown shows exactly how the deduction is calculated. For UK cars, the first 10,000 miles are at the higher 45p rate, with any additional miles at 25p.
The UK vs US Comparison shows how the same mileage would be valued under each country's system, useful if you operate in both markets.
Frequently Asked Questions
What are the HMRC mileage rates for 2024/25?
HMRC Approved Mileage Allowance Payments (AMAP) rates are 45p per mile for the first 10,000 business miles and 25p per mile after that for cars and vans. Motorcycles get 24p per mile and bicycles get 20p per mile. These rates have been unchanged since 2011.
What is the IRS standard mileage rate for 2025?
The IRS standard mileage rate for business use of a vehicle is 67 cents per mile for 2025. This covers depreciation, gas, insurance, maintenance, and other vehicle expenses. You cannot claim these costs separately if you use the standard rate.
Can I claim mileage for commuting to work?
No. In both the UK and US, ordinary commuting between your home and permanent workplace is not claimable. Business mileage only covers travel between workplaces, to client sites, or temporary work locations. If you work from home and travel to a client site, that journey counts as business mileage.
Is the mileage rate different for electric cars?
No. In the UK, HMRC applies the same 45p/25p AMAP rates regardless of whether your car runs on petrol, diesel, or electricity. In the US, the IRS standard rate of 67c/mile applies equally to all vehicles including EVs. The rate is designed to cover all running costs.
How much tax can I save by claiming mileage?
Your tax saving depends on your marginal tax rate. As a UK basic rate taxpayer (20%), claiming 10,000 miles at 45p saves you 10,000 x 0.45 x 0.20 = £900. Higher rate taxpayers (40%) would save £1,800 on the same mileage. In the US, the deduction reduces your taxable income dollar-for-dollar.
Do I need to keep a mileage log?
Yes. HMRC and the IRS both require contemporaneous records of business mileage. Your log should include the date, start and end locations, purpose of the trip, and miles driven. Many people use a mileage tracking app to automate this. HMRC requires records for 5 years; the IRS typically requires 3 years from the filing date.
Can I claim mileage if my employer reimburses me?
In the UK, if your employer pays less than the HMRC AMAP rate, you can claim Mileage Allowance Relief (MAR) on the difference. For example, if your employer pays 30p per mile, you can claim relief on the remaining 15p (for the first 10,000 miles). In the US, if your employer reimburses at a rate below the IRS standard, you generally cannot deduct the difference as an employee (post-2017 Tax Cuts and Jobs Act).
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