For employees using their own transport for business (2008/09 and 2007/08)
Rate per Mile
Cars & Vans: Annual Business mileage up to 10,000 miles
40p
Cars & Vans: Each additional mile over 10,000 miles
25p
Each passenger making the same trip
5p
Bicycles:
20p
Motorcycles:
24p

These rates represent the maximum tax free mileage allowance for employees using their own vehicles for business. Any excess is taxable. If the employee receives less than the statutory rate, tax relief can be claimed on the difference.