Company Car/Fuel Benefit Question

wizzer85

Hi all,

Can't find the answer to this online anywhere so would really love some help?

My current salary is 37.5k and I am also provided with a company car and fuel card for private use.

Both the car and the fuel are a benefit in kind of c4k, so effectively the total package is c45k.

My question is...

Am I charged 40% for the benefits as cumulatively I surpass the 41.8k 40% limit? Am I only charged 40% over and above the 41.8k? Or...wishful thinking, but what I am being told but can't quite believe...charged 20% on BOTH benefits as my salary is below the 40% threshold?

Thanks in advance guys

stalkah

http://comcar.co.uk/newcar/companycar/taxcalc/g1select.cfm should give you all the info you need

wizzer85

Perfect thank you - I get charged based on benefits over the 41.8 as I suspected

purdyoaten

wizzer85 wrote: »

Perfect thank you - I get charged based on benefits over the 41.8 as I suspected

Yes - but blondebubbles' point is very relevant. It is your taxable income that must be over the amount of 41.8k. This is salary plus benefits less company pension contributions!