Budget 2010 – Benefit in kind re zero emission vehicles
The Chancellor has confirmed that from 6 April 2010 to 5 April 2015 there are to be two changes to the chargeable benefit in kind for company cars and vans with zero emissions or emissions up to 75g/km.
These changes are as follows:
- Full relief from the chargeable benefit in kind on company cars and vans which cannot produce more than 0g/km CO2 engine emissions under any circumstances when driven.
- A reduction in the chargeable benefit in kind to 5% on company cars which have an approved CO2 emissions figure of 75g/km or less.
These benefits are expected to significantly increase the market for electric cars in the UK.