Higher kilometre allowance as of today
As of 17 January, the provisions of the amended decree of the Minister of Infrastructure apply, which increased the mileage rates. This refers to those payments which are paid by the employer for employees driving private vehicles for business purposes.
This is the first increase in this respect since 2007. However, high inflation and an increase in the cost of operating cars, including fuel prices, forced the infrastructure ministry to make changes in this regard.
The amount of the mileage allowance depends, among other things, on the engine capacity of the vehicles used. For cars with an engine of up to 900 cc, the new rate is PLN 0.89 per kilometre (until 16 January, the rate was PLN 0.5214). For cars with an engine of more than 900 cc, the new rate is PLN 1.15 (previously it was PLN 0.8358). The new mileage allowance for a motorbike is PLN 0.69 (previously PLN 0.2302), and for a moped, it is PLN 0.42 (previously PLN 0.1382).
Payment of the mileage allowance is made at the taxpayer’s request. It is worth mentioning that if the taxpayer’s application for payment of the mileage allowance was submitted before 17 January, but already considered after that date, the employer should already apply the new, higher rates.