You should be aware of how HMRC may classify your crew van. There is some confusion when it comes to the taxation of these vans and whether they’re classed as cars or commercial vehicles for benefit in kind (BIK) tax – the same kind of conundrum that can arise with double cab pick-ups and their low tax attractions .
The annual benefit in kind tax liability for company vans is a fixed rate – unlike cars, where the tax is based on a scale of CO2 emissions and the list price of the car. These measures are annual upratings that increase the van benefit charge and the car and van fuel benefit charges by the Consumer Price Index from 6 April 2023 and have been uprated annually since 2014.
The distinction between a van and a car can have significant implications for tax particularly with respect to how they are treated for benefit in kind purposes – a van would generally have a lower benefit in kind charge than a car.
It may be a relatively small issue right now but the Association of Fleet Professionals (AFP) said the Government and HMRC should examine the impact.
HMRC is helping contractors affected by Carillion liquidation through its Business Payment Support Service if you are struggling to pay
It's illegal to use 'rebated fuel', commonly known in the UK as red diesel, for ordinary road use. But it's much cheaper, so the inevitable takes place. Now HMRC has a new weapon in the fight against the fraudsters HMRC is stepping up the fight against the use of illicit diesel and has recently co-operated with the Irish [...]
Author: Robin Roberts Company car salary sacrifice schemes are over-hyped and outweigh real-world take-up, according to leading fleet decision-makers' organisation, ACFO. Its online survey of members and non-members operating almost 27,000 company cars and employing almost 250,000 people, revealed 1,464 cars were being operated via a salary scheme. It means that company cars provided under a salary sacrifice [...]
THE plumbing trade has been told to tighten up on its tax affairs or face an HMRC clampdown on traders.
HMRC says van operators and traders can improve their business by keeping correct records.
