Pre-Budget Report – Changes to fuel benefit tax
Employees who receive free private fuel for company cars or vans will need to be aware that the fuel benefit charge is set to increase from 6 April 2010. The same figures are also relevant to employers who are subject to pay Class 1A NICs on the value of the benefit.
The amount that is used to calculate the benefit for those in receipt of free private fuel for company cars will increase from £16,900 to £18,000.
In addition the figure used to calculate the benefit for those in receipt of free fuel for company vans will increase from £500 to £550.