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BVRLA calls for end of unjust 3% BIK diesel penalty

Date: 20 October 2008

The BVRLA is pushing for the Government to remove the 3% benefit-in-kind penalty paid by business drivers choosing a diesel model.

The organisation wants the changes to come in the Pre-Budget Statement due next month.

"With today's modern diesel engines there is no justification for a 3% supplement in BIK taxation," said BVRLA boss John Lewis. "The Government has already got rid of the diesel supplement in VED; it needs to do the same with company car tax."

Lewis also said he wants the Government to reduce the scale of planned VED increases for cars with emissions of more than 180g/km, as well as calling on the Pre-Budget Statement to clear up the uncertainty surrounding next April's new corporation tax review.