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Posted Thu, 05 May 2022 12:30:21 GMT by L ZH
Hi, Our company is moving premises, some are not willing to commute to the new premises. can we pay employees mileage (no more than the normal business mileage allowable rate 45p) without NIC&PAYE implications?.
Posted Mon, 09 May 2022 08:22:03 GMT by HMRC Admin 19

Approved mileage allowance payments rates can be used for business journeys. From what you have explained this journey is ordinary commuting and therefore if you reimburse or pay them money for an ordinary commuting journey this is taxable earnings. 

Thank you.
Posted Mon, 09 May 2022 08:59:40 GMT by L ZH
Thanks for the reply. So if we change the place of work in contract to employees' homes, employees travel to new work place, can they be classified as business mileage ?
Posted Tue, 10 May 2022 15:58:38 GMT by HMRC Admin 2

We would need to discuss this in more detail to give you the correct guidance.

Please contact our Employer Helpline for further advice.

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Thank you.

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