Zero or very low benefit-in-kind tax rates on electric cars introduced by the government in April 2020 had almost certainly powered the majority of a dramatic increase in salary sacrifice schemes.
SALARY sacrifice is a formal agreement between employee and employer to sacrifice some salary for a new car. Salary sacrifice is sometimes used as an alternative to the provision of a company car. However, Chancellor Philip Hammond announced changes from April 2017 in the 2016 Autumn Statement. This reduces some of the previous tax and NIC advantages of salary sacrifice [...]
A POOL car is a company vehicle that’s available for use by one or more employees of that company. It can be a pool van, as well. It's called a pool car, because it is an asset that can be used by everyone in that organisation: 'pooled use'. However, HMRC is very keen to ensure that employees don’t use pool cars [...]
VN5 uses with the same reliable, hard-working construction as LEVC’s highly successful TX taxi with flexible zero emissions and a range of over 300 miles via LEVC’s innovative eCity electric technology. Impressively, VN5 can offer 60 miles pure electric range and a pure EV city range of 75 miles.
While tax increases and changes in tax law are inevitable and even necessary, if not always welcome, it’s already been a difficult year for Britain’s motorists, and proposed tax changes are unlikely to make it any easier
The distinction between a van and a car can have significant implications for tax particularly with respect to how they are treated for benefit in kind purposes – a van would generally have a lower benefit in kind charge than a car.
Now could be an ideal time to review fleet policy to look at introducing a number of new, tax-efficient vehicles to choice lists for drivers to consider when we come out of lockdown.
It's clear that some sectors are more affected by WLTP than others, which will undoubtedly drive a change in the shape of the UK car parc.
Is it justifiable taxing people on a benefit when that benefit is not really available for use? That’s what is happening at the moment with company cars and vans that can’t be used except for essential travel.
Companies should look to install charging infrastructure and implement policies to manage demands and prevent conflicts.
An increase in fuel duty for conventional internal combustion engine (ICE) vehicles of 2p per litre could raise £4bn over the next five years, whereas a continued freeze on fuel duty could cost the Treasury £1bn a year.