Tx notes fa22 Final

Calculate the taxable benefit for 2022/23 for Lewis, Nico, Fernando, Jenson and Sebastian. 
8.8.
 
Fuel provided for private use 
(a)
The car benefit also covers the running costs of the car BUT does not take account of fuel 
provided for private use.
(b)
The amount of fuel benefit is computed on a base figure of 
£25,300
multiplied by the 
percentage used for calculating the car benefit.
The fuel scale charge is reduced proportionately where private use fuel is withdrawn (and not 
reintroduced during the year) or the car is only given part way through the tax year.
(c)
No reduction is made if the employee contributes towards the cost of petrol for private use. If 
he pays for all fuel used for private motoring the charge is cancelled.

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Example 5 
Using example 4 – calculate the fuel benefit for Lewis, Nico, Fernando, Jenson and Sebastian 
assuming also that Fernando pays Speed Merchants plc £600 during 2022/23 towards the cost 
of private fuel, although the actual cost of this fuel was £1,000. 
8.9. Vans and heavier commercial vehicles (rates given in tax tables) 
(a)
Where an employee uses an employers van for journeys between home and work and other 
private use is insignificant there is no benefit.
(b)
Where private use is not insignificant the tax charge is £3,600 p.a.
(c)
An additional charge is made for fuel provided for unrestricted private use equal to £ 688 p.a.
(d)
Both benefits are time apportioned if the van is unavailable to the employee for 30 days or 
more during any part of the tax year.