ACFO to press for five years' notice on BiK changes
Historically, the Government has given three years' notice of company car BiK tax thresholds, but that has slipped to two years, with the coalition Government having just confirmed rates through to 2013-14 in this year's Budget.
ACFO chairman Julie Jenner said: 'Many employees have their company cars replaced on a four-year cycle so they remain in the dark as to what their BiK tax burden will be in the fourth year.
'For example, an employee choosing their company car today and expecting not to replace it until 2014-15 has no clarity as to what their future tax bill will be.'
The suggestion of five years' advance notice came at this year's ACFO Conference and AGM, which was held at the Heritage Motor Centre and Museum, Gaydon.
Jenner said: 'We had success with calling for three years' advance notification and with some fleets adopting longer vehicle replacement cycles, we will push for five years in our talks with Government officials.'For more of the latest industry news, click here.