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<p>Approved Mileage Allowance Payments (AMAPs) are used by employers to reimburse
an employee’s expenses for business mileage in their private vehicle.</p><p> </p><p>AMAPs
are intended to create administrative simplicity and certainty by using an average
rate, which reflects vehicle running costs including fuel, servicing and depreciation.
Fuel is therefore only one component. As an average, it will necessarily be more suitable
for some drivers than others. This may vary across sector.</p><p> </p><p>The AMAP
rate also applies to volunteers. Organisations do not need to use the AMAP rates.
Instead, they can reimburse the actual cost incurred when volunteer drivers can show
evidence of the expenditure, without a tax liability arising. Or they can agree to
reimburse a different amount, such as a higher or lower rate.</p><p> </p><p>Any reimbursement
above the AMAP rates would be subject to Income Tax unless the driver can show evidence
of the expenditure. As volunteer driving does not count as employment for NI purposes,
volunteers do not need to pay NICs on profits made from volunteer driving.</p><p>
</p><p>Like all taxes and allowances, the Government keeps the AMAP rate under review.</p>
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