Fuel card offer from work help please

stuartroberts

HI All,


I have been offered the opportunity of a fuel card at work, and am hoping for a little advice.


We have been offered the chance to take a fuel card at a cost of £50 per month from salary. This will include all private mileage.


Will this be taken into consideration as a taxable benefit or will i have to pay the taxable benefit on top.

Also if some years i breifly enter the 40% tax bracket, will i be charged at the full 40% BIK for the whole year.


I called hmrc but they were not very helpful.


I already know that it is classed as a BIK but what i am asking is will the £600 paid in the calendar year virtually make me break even .


At the moment a fuel card will cost me approx £72 per month, will the £50 be deducted from this.


And as far as i understand at 40% this more than doubles, would this be for earnings only over the 40% threshold.