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Mileage Allowance Calculator

Calculate your business mileage tax deduction for Self Assessment.

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Mileage Allowance

£4,500.00

Tax saving: £900.00

First 10k (45p)

£4,500.00

Over 10k (25p)

£0.00

Tax Saving

£900.00

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Understanding Mileage Allowance

If you are self-employed or use your personal vehicle for business purposes, you can claim a tax deduction for your mileage. HMRC's simplified expenses scheme allows you to claim a flat rate per mile, which is often much easier than tracking every single vehicle-related cost like fuel, insurance, and repairs. This  calculator, provided by Calculator Site, helps you quickly determine your potential deduction.

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This deduction reduces your taxable profit, which in turn lowers your Income Tax and National Insurance bill. It is a valuable way for millions of sole traders and employees to reduce their tax burden. For related calculations, see our Take-Home Pay Calculator.

Who Can Claim Mileage Allowance?

You can claim mileage allowance if you are a sole trader or partnership (using simplified expenses), or an employee using your own vehicle for business journeys (not including your regular commute). Companies can also use these rates to reimburse employees. To understand your company's tax obligations, use the Corporation Tax Calculator.

HMRC Mileage Rates (2025/26)

The government sets official Mileage Allowance Payment (MAP) rates. For cars and vans, the rate is higher for the first 10,000 business miles in a tax year.

45p

First 10,000 miles (Cars/Vans)

25p

Over 10,000 miles (Cars/Vans)

24p

Motorcycles (all miles)

How to use this Calculator Site tool

Simply enter the total business miles you have driven in the tax year, select your vehicle type, and choose your income tax rate (20% for basic rate, 40% for higher rate, 45% for additional rate). The calculator will instantly show your total mileage allowance and the estimated tax saving based on your tax bracket. For official approved rates, visit HMRC approved mileage rates.

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