Civil Service Mileage - rates reduction!

[Sadmak]

I'm not sure if i am missing something - but I have visted the revenue website and looked at the Employees Motoring expenses Leaflet IT 51. There is a huge difference between the effective rates in 2004 and the revised effective rate in 2005

for example I you have a 1.8L car and do about 10k business miles per year
In 2004 you could claim €7913.60 ie 1st 4k miles @ €1.16 + next 6k @ €0.54
In 2005 this would be reduced to €6472.56 ie 1st 6437@ €0.77 and next 6000 @ 0.36

ie a difference of €1,441 - a lot of money when you are trying to run your own car.

Does anyone know why the rates have been reduced?

 

[ubiquitous]

I think you are comparing the rate per mile in 2004 with the rate per km in 2005.

 

[Sadmak]

Thanks UB.. That makes a lot more sense!