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HMRC internal manual

Employment Income Manual

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HM Revenue & Customs
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Van benefit from 2005/06: examples - the basic cases

Section 155 ITEPA 2003

This page illustrates the principles of the basic cases at EIM22790.

Example: van for which the restricted private use condition is met

In this example, a van is made available to employee A because it is necessary for the job. The van can be and is taken home at night but the terms on which it is made available do not allow any other private use. Employee A abides by those terms (for full details of the restricted private use condition, see EIM22795).

Conclusion: the cash equivalent for 2014/15 is nil (EIM22790).

Example: van for which the restricted private use condition is NOT met

Employee B also needs a van for their job, but is allowed both to take it home and to use it for any other private purpose. Employee B regularly uses it for private purposes other than commuting.

Conclusion: the cash equivalent for 2014/15 is £3,090 (EIM22790).

Other examples

  • unavailability, EIM22872 
  • shared vans, EIM22874 
  • payments for private use, EIM22876 
  • replacement vans, EIM22878 
  • insignificant private use, EIM22880.