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Double P11d tax/NIC charge?

Client is a retail shop.  Husband and wife.  Their only vehicle is a shared company van, which is used for both business and private use (not incidental).  The vehicle is used equally by them and they are both named drivers ont the insurance.  Is there anything in the legislation which prevents a double tax/NIC charge?  If not then potentially they both have to complete a P11d and face a BIK of £3,000 on the same vehicle.

Yours responses welcomed.


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By Anonymous
14th Jun 2010 10:28

S.157 ITEPA 2003 applies...

... in this situation:

S.157(2) The cash equivalent of the benefit of the van to each of those employees for that year:-

(a) is to be calculated separately under sections 155 and 156 [ie full van benefit pro-rated for availabilitycalculated for each], and

(b) is then to be reduced on a just and reasonable basis.

I'd suggest that the most just and reasonable basis is the one that effectively apportions the benefit between them in proportion to their enjoyment of the asset.  It seems likely that this will tend towards 50% for a married couple, who will probably make many of their private journeys together.

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By ACDWebb
14th Jun 2010 10:37

Lave a look at

ITEPA s156 et seq. They seem to be within Condition A so you could use the adjustments at s161 et seq



EDIT: Too slow

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By Anonymous
14th Jun 2010 10:40

thanks to all respondents for clearing that up for me, very usef

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