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HMRC internal manual

Employment Income Manual

HM Revenue & Customs
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Employees using own cars or vans for work: passenger payments: exemption only (not a relief)

Section 233 ITEPA 2003

The rules for payments for carrying business passengers (see EIM31400)only provide an exemption from tax.

There is no corresponding relief or deduction where the employee carries fellow employeeson business journeys, but the employer does not make payments for business passengers, orwhere payments are less than 5p a mile per passenger.

In other words, there is no equivalent to mileage allowance relief (see EIM31330) in respect of passenger payments.