We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we will assume that you are happy to receive all cookies on the Business Car website. However, if you would like to, you can change your cookies at any time
The start point for the best source of fleet information |
More than a week after the Budget and we're still digging up related stories.
This week we found a small, but significant error in the Budget document.
The £85 million the Budget document said would come from luxury company cars (those costing more than £80,000) in the 2011/12 tax year was in fact a figure covering in increase in all company car taxation.
We thought the £85m figure was high when we first saw it, but when we quizzed the HMRC they told us it was right, but that it was "only a projected figure".
However, when we double-checked with Treasury they informed us it was for all company car tax changes.
Great! Perhaps HMRC and HM Treasury should talk to each other.
Now it's been clarified we now know that rather than splitting £85m across the 5000-odd luxury company cars it's split across the full 1.1m company cars on our roads.
That's an average of £77 per car as opposed to nearly £17,000 a pop. Not too bad.
However, this figure is in addition to the increase announced in the 2008 Budget for the same tax year, which was £75m (still with me?).
So, in the tax year 2011/12 the average company car driver will be paying £145 more in tax than he or she is now.
Ouch!
BusinessCar magazine ©2019
Business Car Magazine © 2020 | Business Car is part of NS Media Group.
