Changes to Company Cars and Van calculations in the 2010/11 tax year
New changes were announced in the 2010 Budget that will affect P11D calculations from 2010/11 onwards. These are : -
- A new Ultra Low CO2 emissions category for company cars has been introduced. Company cars that emit no more than 75g of CO2 per km will attract a 5% of list price benefit charge for 5 years from 6 April 2010 to 5 April 2015.
- Zero CO2 emission company vans will attract a zero van benefit charge for the period from 6 April 2010 to 5 April 2015.
- The definition of Electric cars is being replaced by zero emissions cars in the legislation. These will also attract no benefit for the period 6 April 2010 to 5 April 2015.
Zero emissions vehicles means vehicles that are incapable of producing CO2 emissions under any conditions when driven.
Other changes previously announced are increases in fuel benefit charges as follows: -
- Car Fuel Benefit - the appropriate multiplier is being increased from £16,900 to £18,000
- Van Fuel Benefit - this is rising from £500 to £550.
All of these changes will be incorporated into Version 2010.2.1 of the P11D Organiser that will open up the tax tables for 2010/2011.
With these new rules it is very important to get the CO2 values correct. To aid you we have recently redesigned our website to include a CO2 calculator. This useful tool displays CO2 emissions values for vehicles that you provide to your employees. The database behind the calculator contains the very latest information on CO2 emissions data from the
Vehicle Certificate Agency.
We hope you will find this tool useful the next time you are stuck trying to find out the CO2 emissions value for a new vehicle. |
