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Fuel benefit on an electric car
Tall_Tone
Posts: 33 Forumite
in Cutting tax
With my old diesel car I paid fuel tax as a benefit in kind for unlimited private mileage paid for by the business. Simple.
On my Electric car (owned by the business), the HMRC states that
"Employee charges car at home: electricity provided by employer" - No additional benefit.
They also say
"Employee charges car at home: employer reimburses the electricity cost" - Reimbursement taxed as earnings.
After two years of not paying anything for private mileage and putting all costs on expenses as "Electricity is not a fuel and does not attract a benefit charge", the company now says I have to pay all charging costs and charge the company 45p per mile. I am about £150 per month worse off due to high mileage.
The company I work for has provided a float for expenses, and I claim back the exact cost of charging (worked out by the Wall charger) for the car.
The question: What defines "Paid for" or "Reimbursed"? What is the difference?
Thanks
Tony
On my Electric car (owned by the business), the HMRC states that
"Employee charges car at home: electricity provided by employer" - No additional benefit.
They also say
"Employee charges car at home: employer reimburses the electricity cost" - Reimbursement taxed as earnings.
After two years of not paying anything for private mileage and putting all costs on expenses as "Electricity is not a fuel and does not attract a benefit charge", the company now says I have to pay all charging costs and charge the company 45p per mile. I am about £150 per month worse off due to high mileage.
The company I work for has provided a float for expenses, and I claim back the exact cost of charging (worked out by the Wall charger) for the car.
The question: What defines "Paid for" or "Reimbursed"? What is the difference?
Thanks
Tony
0
Comments
-
Paid for means charging at the company’s premises or your company pays your electric bill directly (very unlikely).
If they reimburse (pay you back) the usage then that's taxable under paye.
Claim mileage at 45p a mile would be better0
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