United Kingdom

HMRC Mileage Log Rules for Electric Tesla Drivers in the United Kingdom

Yes — if you drive a Tesla for work in the UK, you must be able to prove which miles are business and which are private, and a contemporaneous mileage log is the evidence HMRC expects. This applies just as fully to a 100% electric car: the low electric Benefit-in-Kind rate lowers your tax, but it does not remove the record-keeping obligation. On enquiry, the burden is on you to substantiate every claim.

Last reviewed: 2026 (2026/27 tax year)

Key figures

Electric company-car Benefit-in-Kind rate (2026/27)

55p per mile

AMAP mileage rate for your own car — first 10,000 business miles (2026/27)

25p per mile

AMAP mileage rate for your own car — miles above 10,000 (2026/27)

8p/mile home, 14p/mile public

Advisory Electricity Rate for company-car business mileage (from 1 Sept 2025)

5 years after the 31 January Self Assessment deadline; 6 years for VAT records

Record retention

Who is concerned?

Three main groups are affected. Company-car drivers and directors with a Tesla available for private use are taxed on a Benefit-in-Kind and need journey and charging records. Self-employed sole traders and partners must apportion their vehicle costs between business and private use in their Self Assessment. VAT-registered businesses reclaiming input VAT on charging need business-mileage records to support the claim. Employees using their own Tesla for work journeys also need a log to claim tax-free mileage payments.

For your electric Tesla

Because a Tesla is 100% electric, some rules that catch petrol and diesel cars simply do not apply. HMRC does not treat electricity as a 'fuel', so a pure-electric company car has no Car Fuel Benefit Charge and no VAT Fuel Scale Charge. The car itself is still a company car: if it is available for private use it is taxed on a Benefit-in-Kind, calculated as the P11D list price multiplied by the appropriate percentage — just 4% for 2026/27 — and reported on form P11D or payrolled. That percentage does not depend on your business-mileage split, so your mileage log does not reduce the BIK itself.

What to record

✓The date of each business journey.
✓The start and end locations, including postcodes.
✓The purpose or reason for the journey.
✓The distance travelled in miles (odometer readings help support this).

How to stay compliant

1

Capture every trip as you drive
Log each journey contemporaneously with date, start and end postcodes, purpose and distance. HMRC accepts electronic and telematics records; year-end reconstructions from memory are weak evidence and are easily challenged.
2

Classify business versus private and keep charging receipts
Sort each trip as business or private — remembering that commuting to your normal workplace counts as private — and keep a running business-use percentage. For VAT recovery on public charging, keep the charging receipts alongside your mileage log.
3

Export for the right return
Keep clean, timestamped records ready to support your P11D, your Self Assessment vehicle claim (simplified expenses or actual costs), company-car reimbursement at the Advisory Electricity Rate, or your VAT return.

Without adequate, contemporaneous records HMRC will not accept your business-versus-private split. That can mean disallowed expense deductions, blocked or clawed-back input VAT on charging, and mileage relief you never reclaim. Inaccurate returns can trigger penalties for careless or deliberate error — a percentage of the tax lost, up to 100% for deliberate and concealed cases — plus interest on underpaid tax and penalties for failing to keep adequate records. On enquiry the burden is effectively on you to prove your claims with a contemporaneous log.

mileage log, Benefit-in-Kind (BIK), P11D, appropriate percentage, Approved Mileage Allowance Payments (AMAP), Advisory Electricity Rate (AER), simplified expenses, Self Assessment, Class 1A National Insurance. Note: because electricity is not a 'fuel', the Car Fuel Benefit Charge and the VAT Fuel Scale Charge do not apply to a pure-electric Tesla.

Frequently asked questions

Do I still need a mileage log if my electric Tesla has such a low company-car tax rate?+

Yes. The 4% Benefit-in-Kind rate (2026/27) lowers your tax, but HMRC still requires you to substantiate business versus private use. Records support your business-mileage reimbursement, your VAT recovery on charging and your Self Assessment claim — the low BIK rate does not remove that obligation.

Is there a Car Fuel Benefit Charge on a pure-electric company Tesla?+

No. HMRC does not treat electricity as a 'fuel', so a fully electric company car has no Car Fuel Benefit Charge and no VAT Fuel Scale Charge. This differs from petrol, diesel and plug-in hybrid cars. Business charging is instead reimbursed at the Advisory Electricity Rate, which needs a mileage record.

How long do I have to keep my Tesla mileage records for HMRC?+

Keep contemporaneous records for at least 5 years after the 31 January Self Assessment deadline if you are self-employed, and 6 years for VAT records. On enquiry HMRC can look back over these periods and expects you to produce the underlying logs and charging receipts.

Sources

Based on HMRC guidance (company cars & fuel, simplified expenses, VAT motoring expenses). Informational only — not tax advice.

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