Vans - an overview

Top  Previous  Next

The van benefit charge increased to £3,170 (£634 for zero emission vans) with effect from 6 April 2016. The conditions under which the charge arises have not changed and therefore an employee should only pay tax if they use the van for private journeys other than journeys between home and work (unless the private travel in insignificant). The annual charge is reduced where the van in unavailable to the employee, or if the van is shared between employees..

 

The van fuel benefits charge is a flat rate which increased to £598 with effect from 6 April 2016 and this applies if provided with free or subsidized fuel for private journeys. The annual charge is reduced where the van is unavailable (or shared between employees) or if the employee ceases to receive free or subsidized fuel for private use after a particular date in the tax year.