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Where Taxpayers and Advisers Meet

Company Car

gini
Posts:1
Joined:Fri Jul 21, 2017 10:39 am
Company Car

Postby gini » Fri Jul 21, 2017 10:50 am

Hi,
I have been offered company car allowance of £3000 per year. Does taking company car have double taxation:
a) Reduce my personal tax allowance £ 11,500 and also
b) pay company car tax (benefit in kind tax)

Please advise if i am right or wrong.
Regards
Gini

AmanSood
Posts:216
Joined:Mon Jan 09, 2017 4:12 pm

Re: Company Car

Postby AmanSood » Fri Jul 21, 2017 11:55 pm

Hi Gini

Not completely sure what you are asking but to clarify - if you receive the £3,000 car cash allowance this would be taxed as normal like salary. This does not reduce your personal tax allowance and is cash so there would be no company car benefit in kind charge.

Aman
Advising on UK employment, expatriate and personal taxes
aman.sood@e-taxconsulting.com.
+44 (0) 207 846 0155


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