Company car - courtesy car tax reduction

xHannahx

From fleet news UK

Company car benefit is apportioned where the car is unavailable to the employee for a continuous period of 30 days or more.

The company car benefit continues throughout a continuous period of unavailability of less than 30 days.

Therefore, where a hire or relief vehicle is used as a replacement for both business and private use during periods of unavailability, company car benefit still applies when this is for a continuous period of less than 30 days.

The provision of a hire car during this period will not incur a separate and additional BiK charge, provided it is not materially better than the company car or provided with this intention.

Should a hire or relief vehicle be provided where the company car is unavailable for a continuous period of 30 days or more, then the company car benefit is apportioned and an alternative BiK charge arises by reference to the hire or relief car. This would be calculated according to the typical company car benefit rules.

So as long as you have had the alternative car for more than 30 days continuously then your BIK tax should be recalculated,

wealdroam

OP, the (apparently authoritative) recent quotes talk about "a continuous period of 30 days or more" and "a period of 30 days or more".

Your opening post says "a total of 5 weeks this year", and you expand on this in a later post:

The Passat spent two weeks in a VW dealer as the sunroof leaked. It went to the dealer for an additional week for servicing and suspension bushing replacements etc. It is now back in the dealer (3 weeks and counting) having some bodywork repairs carried out.

So the real question is - have you been without the Passat for 30 days or more in one continuous period?

lazer-zxr

It has been over different periods, not one longer than 29 days. I guess I'll give up on this idea ... Thanks for your help everyone.