Tag Archive: benefit in kind
The twin-cab pickup makes a U-turn
Posted 6th March 2024 at 11:42 am
In an announcement made on 19 February, the government made a surprising U-turn and confirmed that twin-cab pickup vehicles with payloads of 1 tonne or more will continue to be treated as goods vehicles for both capital allowances and benefit-in-kind purposes. On 12 February, HM Revenue & Customs (HMRC) had updated its guidance on the tax treatment of twin-cab pickups following a 2020 Court of Appeal judgment. The guidance had confirmed that, from 1 July 2024, twin-cab pickups with a payload of one tonne or more would be treated as cars rather than goods vehicles for both capital allowances and... Read more
Reward your staff with tax-free Trivial Benefits
Posted 24th July 2019 at 9:44 am
Did you know that if you reward staff with Benefits in Kind, you can save tax on these by meeting certain conditions? A benefit in kind can be classed as a Trivial Benefit and therefore exempt from tax if: the cost of providing the benefit does not exceed £50 the benefit is not cash or a cash voucher the employee is not entitled to the benefit as part of any contractual obligation (including under salary sacrifice arrangements) the benefit is not provided in recognition of particular services performed by the employee as part of their employment duties. The exemption has... Read more
5 reasons to switch to a hybrid or electric company car
Posted 10th July 2019 at 2:28 pm
1. Significant tax savings From April 2020, as a move by the government to encourage the switch to low emissions vehicles, the taxable benefit on company cars will change significantly. Hybrid plug in vehicles benefit in kind rates will drop further. As an example, a higher rate taxpayer will pay almost £5,000 tax per year on a BMW 320d, whereas a driver of a BMW 330e with a petrol engine and battery with up to 37 mile range will pay under £2,000. Fully electric vehicles take this further with benefit in kind rates of 0% for 2020/21, 1% for 2021/22... Read more