If the vehicle you provide to your employee is a car, the taxable benefit is higher. If it’s a van, the taxable benefit is lower. But what if it’s a multi-purpose vehicle? Or modified for use in your business?
If you’ve been thinking about switching your company car to an electric vehicle, the forthcoming change to the tax rate might just make up your mind. From next April, drivers will pay 0% company car tax on electric vehicles, as part of new efforts to encourage the switch to greener models.