Budget 2012: Company car tax
From April 2015, the ﬁve-year exemption for zero carbon and ultra low carbon emission vehicles will come to an end as legislated in Finance Act 2010. The appropriate percentage for zero emission and low carbon vehicles will be 13% from April 2015 and will increase by two percentage points in 2016–17.
From April 2016, the Government will remove the three percentage point diesel supplement differential so that diesel cars will be subject to the same level of tax as petrol cars.
The Government will exclude certain security enhancements from being treated as accessories for the purpose of calculating the cash equivalent of the beneﬁt on company cars made available for private use. The changes take effect retrospectively from 6 April 2011.
Van beneﬁt charge – The Government will freeze the van beneﬁt charge at £3,000 in 2012–13. From April 2015, the ﬁve year exemption for zero carbon vans from the van beneﬁt charge will expire, as legislated in Finance Act 2010.
For analysis and opinion of the Budget, see this week’s FWC special, out on Friday