PART 1Income tax, corporation tax and capital gains tax

Employment income and social security income

10Determining the appropriate percentage for a car: tax year 2021-22 only

1

For the tax year 2021-22, Chapter 6 of Part 3 of ITEPA 2003 (taxable benefits: cars etc) has effect with the following modifications.

2

In section 139 (car with a CO2 emissions figure: the appropriate percentage)—

a

in the table in subsection (1), in the second column of the entry for a car with a CO2 emissions figure of 0, for “2%” substitute “ 1% ”, and

b

in subsection (7) before paragraph (a) insert—

za

section 139A (recently registered cars),

3

After section 139 insert—

139ASection 139: recently registered car with CO2 emissions figure

In its application in relation to a car that is first registered on or after 6 April 2020, section 139 has effect as if—

a

for the table in subsection (1) there were substituted—

Car

Appropriate percentage

Car with CO2 emissions figure of 0

1%

Car with CO2 emissions figure of 1 - 50

Car with electric range figure of 130 or more

1%

Car with electric range figure of 70 - 129

4%

Car with electric range figure of 40 - 69

7%

Car with electric range figure of 30 - 39

11%

Car with electric range figure of less than 30

13%

Car with CO2 emissions figure of 51 - 54

14%

Car with CO2 emissions figure of 55 - 59

15%

Car with CO2 emissions figure of 60 - 64

16%

Car with CO2 emissions figure of 65 - 69

17%

Car with CO2 emissions figure of 70 - 74

18%

b

in subsection (3)(a) for “20%” there were substituted “ 19% ”.

4

In section 140 (car without a CO2 emissions figure: the appropriate percentage) in subsection (3)(a) for “2%” substitute “ 1% ”.