Part 3Employment income: earnings and benefits etc. treated as earnings

Chapter 6Taxable benefits: cars, vans and related benefits

Cars: treatment of accessories

126Amounts taken into account in respect of accessories

(1)

The price of the following accessories is to be taken into account under step 2 of section 121(1) F1and step 2 of section 121B(1) —

(a)

in the case of a car with a list price, the price of any initial extra accessory, and

(b)

in the case of any car, the price of any later accessory.

(2)

In this Chapter an “initial extra accessory” means a qualifying accessory which—

(a)

is a non-standard accessory,

(b)

is available with the car at the time when it is first made available to the employee, and

(c)

if it is an accessory in relation to which there is no published price of the manufacturer, importer or distributor of the car (see section 128), is available with the car in the tax year in question.

(3)

In this Chapter a “later accessory” means a qualifying accessory which—

(a)

is available with the car in the tax year in question,

(b)

was not available with the car at the time when it was first made available to the employee,

(c)

was not made available with the car before 1st August 1993, and

(d)

has a price of at least £100.

(4)

In this section references to the price of an accessory are to—

(a)

its list price, if it has one, or

(b)

its notional price, if it has no list price.

(5)

This section is subject to section 131 (replacement accessories).