Where a company makes a car and fuel available for the private use of an employee a benefit in kind value needs to be calculated for the car and the fuel.
HMRC has now set up a calculator, that:
- allows you to calculate the benefit in kind value of a company car and, if appropriate, the car fuel benefit.
- provides an indication of the income tax the employee would be liable to pay on the benefit.
The calculator is up to date for the increase in the car fuel benefit multipliers from 6 April 2012.
If you want to check the benefit and likely cost of a car and fuel please click here.