The updated mileage and subsistence rates for the public service, effective from 1 September 2022 may also be used by private-sector employers for the reimbursement of employee travel expenses on a tax-free basis.
This was a much needed update, as the previous rates and mileage bands have been in place since 1st April 2017. The new rates have been reviewed in the context of current motoring costs. These are based on a methodology that reflects changes in technology, road conditions, commuter behaviour, and car ownership patterns. It also takes account of the commitments by the Government in relation to the Climate Action Plan 2021 (CAP 21).
As part of these changes, a dedicated rate for Electric Vehicles (EVs) has been introduced for the first time.
The government has also signalled its intention to move toward a single reimbursement rate for all vehicles, regardless of engine size. While such a scheme may be easier to administer, it may result in some degree of ‘levelling down’ for those with cars currently qualifying for the highest rate of reimbursement. This change is not expected to occur for a period of three years.
The updated rates are welcome given recent increases in motoring costs. Employers will need to ensure that their payroll and expense systems reflect the new rates, effective from 1 September.
Distance bands | Engine Capacity up to 1200cc | Engine Capacity 1201cc to 1500cc | Engine capacity 1501cc and over |
Band 1 | 0 - 1,500 km | 41.80 cent | 43.40 cent | 51.82 cent |
Band 2 | 1,501 – 5,500 km | 72.64 cent | 79.18 cent | 90.63 cent |
Band 3 | 5,501 – 25,000 km | 31.78 cent | 31.79 cent | 39.22 cent |
Band 4 | 25,001 km and above | 20.56 cent | 23.85 cent | 25.87 cent |
The rate for EV cars is the same rate as that applying to vehicles in the middle category of 1,201 to 1,500 CC. The rate for hybrid cars will continue to be determined by their internal combustion engine (cc) size, and expenses should not be claimed in the EV category.
Civil Service Subsistence Rates
Some changes have also been made to the reimbursement rates for accommodation. The overnight rate has been increased from €147 to €167. No changes have been made to the 5 and 10-hour subsistence day rates since last revised in December 2021. The current Civil Service subsistence rates are set out below.
- Standard Domestic Subsistence Rates - effective from 1 September 2022
Overnight Rates |
Normal Rate | Reduced Rate | Detention Rate |
€167.00 | €150.30 | €83.50 |
Day Rates |
10 hours or more | 5 hours but less than 10 hours |
€167.00 | €150.30 |
- Vouched Accommodation (VA) Dublin only
Vouched Accommodation (“VA”) Rate | Accommodation | | Meals |
VA Rate | Vouched cost of accommodation up to €167.00 | plus | €39.08 |
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