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Company Van Tax

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  • EnPointe
    EnPointe Posts: 828 Forumite
    500 Posts First Anniversary Name Dropper
    danoid said:
    danoid said:
    Hello, I'm a little confused about BIK for Vans with fuel cards.  As far as I can tell people who have company vans pay zero tax when a company provides a van and fuel card so long as you do not do significant private use miles, is this correct?

    It's seem a little crazy to not pay any tax as it makes me wonder why do people have company cars when they can have a van for free?
    This information seems fairly straightforward:
    https://www.gov.uk/expenses-and-benefits-company-vans/work-out-the-value

    According to that, BIK on £3,500 for the van plus £669 for the fuel.

    The "zero tax" as you refer to is only if the van is exempt:
    https://www.gov.uk/expenses-and-benefits-company-vans/whats-exempt

    That really means the van is not available for private use, including attending a "regular" work place.  The "insignificant" private use is also covered in there, and it really is insignificant, the example given being stopping for a newspaper on a work journey.

    Hope that helps.

    If i'm allowed to take the van home and my work starts at home, then that is still exempt correct? I assume it is as it's considered a business trip
    where is your contractural place of work ? 
  • eskbanker
    eskbanker Posts: 37,182 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    EnPointe said:
    where is your contractural place of work ? 
    You're replying to a post from 2021!
  • sheramber
    sheramber Posts: 22,523 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    GEB1969 said:
    Can I jump on this as it is now 4 years on I just wanted to check in case things have changed - if your employee gives you a work van to drive to and from your place of work from your home address with a fuel card but the van does not get used for private use does these need to go on your P11D as a Benefit in Kind. Many thanks.
    No matter how many times you ask the answer does not change apart from HMRC increasing the charge.

    read it for yourself

    https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim22701


    Also , using the van to travel to and from work IS PERSONAL USE.
      The same as everybody else has to pay to travel to and from work.

    If you don’t want the charge for getting the benefit of the van then leave the van on site and use your own transport 



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