The Autumn Statement

The Autumn Statement brought some stability and certainty for the fleet sector last month, with no major changes to motoring taxes, albeit operators running a salary sacrifice scheme should note the £1 uplift in national living wage and extension to 21 and 22 year olds.

There were some key announcements, such as the £2 billion for automotive companies to ease the transition to EV manufacturing, and improvements to speed up grid connections and support the prioritisation of EV charging.

HMRC RULING ON HOME CHARGING FOR CARS AND VANS

HMRC has confirmed the position for companies reimbursing the costs of home energy used for charging company cars and vans. In the latest Employment Income Manual (EIM23900), HMRC accepts that reimbursement forms a linked benefit and therefore there is no separate charge to tax, regardless of whether there is charging for private use.

Cash for car allowance
court ruling on National Insurance

HMRC has recently issued guidance following a case where two companies sought to reclaim National Insurance on cash allowance payments made for the provision of a private car, where there is business travel. This case ruling has opened up the opportunity for employers to benefit from reduced NIC if they meet the same criteria. We have pulled together a fact sheet with the full details to help you decide if this may be something that is applicable to your business.

‘Rules of Origin’

Further to our update last quarter, France is now signalling support for the UK’s call to delay when Rules of Origin will apply. There has been extensive lobbying from the industry, in both the UK and EU for both parties to reach an agreement to amend the Rules of Origin. Zenith is involved in the discussion, sharing the potential impacts for our sector and we hope that there will be a positive outcome before the end of the year.