ACFO fleet industry summit to help HMRC develop AFRs for plug-in cars
ACFO is to host an industry summit that could help HM Revenue and Customs with the development of Advisory Fuel Rates for plug-in cars.
HMRC has tasked the association to provide information and guidelines to enable it to investigate setting a rate.
The round table summit, which takes place on Friday 10 February, will be chaired by ACFO chairman John Pryor with deputy chairman Caroline Sandall also present as well as representatives of the BVRLA, contract hire and leasing companies, motor manufacturers producing plug-in vehicles and fleet managers operating zero emissions and plug-in hybrid cars.
From the meeting ACFO aims to provide HMRC with:
· Calculated figures for Advisory Fuel Rates for plug-in vehicles
· Source data and reasoning behind the calculations
· A template for the future calculation of Advisory Fuel Rates for plug-in vehicles – there is one for the current regime for petrol, diesel and LPG cars
· Information to support the Advisory Fuel Rates recommended for plug-in vehicles.
ACFO believes that Advisory Fuel Rates for plug-in cars – pure electric, plug-in hybrid and range-extended models – should be as straightforward as the current simple to use system for petrol, diesel and LPG cars (hybrid cars are treated as either petrol or diesel models).
John Pryor added: “For many years, ACFO has been calling on HMRC to publish official tax-free company car Advisory Fuel Rates for plug-in vehicles. It remains ACFO’s belief that the absence of defined mileage reimbursement rates is a handicap to some organisations including plug-in vehicles on their choice lists.
“Plug-in vehicles are at their most efficient when driven for as many miles as possible on electric power. Therefore, publishing lower Advisory Fuel Rates for plug-in cars in conjunction with the new company car tax rates would help to encourage drivers to use the car in the optimal environmentally-friendly way.”For more of the latest industry news, click here.