Part 4U.K.Employment income: exemptions

Chapter 2U.K.Exemptions: mileage allowances and passenger payments

SupplementaryU.K.

236Interpretation of this ChapterU.K.

(1)In this Chapter—

(2)For the purposes of this Chapter a vehicle is a “company vehicle” in a tax year if in that year—

(a)the vehicle is made available to the employee by reason of the employment and is not available for the employee’s private use, or

(b)the cash equivalent of the benefit of the vehicle is to be treated as the employee’s earnings for the tax year by virtue of—

(i)section 120 (benefit of car treated as earnings),

(ii)section 154 (benefit of van treated as earnings), or

(iii)section 203 (residual liability to charge: benefit treated as earnings), or

(c)in the case of a car or van, the cash equivalent of the benefit of the car or van would be required to be so treated if sections 167 and 168 (exceptions for pooled cars and vans) [F1and section 248A (emergency vehicles)] did not apply, or

(d)in the case of a cycle, the cash equivalent of the benefit of the cycle would be required to be treated as the employee’s earnings for the tax year under Chapter 10 of Part 3 (taxable benefits: residual liability to charge) if section 244(1) (exception for cycles made available) did not apply.

(3)Sections 117 and 118 (when cars and vans are made available by reason of employment and are made available for private use) apply for the purposes of subsection (2).

Textual Amendments

F1Words in s. 236(2)(c) inserted (with effect in accordance with s. 81(3) of the amending Act) by Finance Act 2004 (c. 12), s. 81(2)