Textual Amendments
F1Ss. 197B-197F and preceding cross-heading inserted by Finance Act 1990 (c. 29), s. 23, Sch. 4
(1)This section applies for the purposes of section 197B.
(2)The employee makes a mileage profit in the year concerned as respects an employment if—
(a)by reason of the employment sums are paid to him in the year in respect of expenses incurred by him in travelling, in the course of the duties of the employment, in a motor vehicle provided by him, and
(b)subsection (3), (4) or (6) below applies.
(3)This subsection applies if all or part of the sums mentioned in subsection (2)(a) above fall to be treated as emoluments of the employment for the year in accordance with an administrative scheme (such as a fixed profit car scheme).
(4)This subsection applies if—
(a)subsection (3) above does not apply,
(b)the employment is employment to which Chapter II of this Part applies, and
(c)the amount of the sums mentioned in subsection (2)(a) above exceeds the aggregate deductible amount for the year concerned in relation to the employment.
(5)For the purposes of subsection (4) above the aggregate deductible amount for the year concerned in relation to the employment is the aggregate of the following—
(a)any expenses of travelling in a vehicle provided by the employee which fall to be deducted from the emoluments of the employment for the year under section 198(1), and
(b)the amount of any allowance which, by virtue of Part II of the 1990 Act, falls to be made to the employee for the year in respect of expenditure incurred on the provision of a vehicle for use in the performance of the duties of the employment.
(6)This subsection applies if—
(a)neither subsection (3) nor subsection (4) above applies, and
(b)all or part of the sums mentioned in subsection (2)(a) above fall to be treated as emoluments of the employment for the year.
(7)If subsection (3) or (6) above applies, the amount of the mileage profit made by the employee in the year concerned as respects the employment is the amount of the sums mentioned in subsection (2)(a) above which fall to be treated as emoluments of the employment for the year.
(8)If subsection (4) above applies, the amount of the mileage profit made by the employee in the year concerned as respects the employment is the amount of the excess mentioned in subsection (4)(c).]