Beta This part of GOV.UK is being rebuilt – find out what beta means

HMRC internal manual

Employment Income Manual

Car benefit: special cases: employees in the motor industry (to 2008/09): special treatment

In cases where employees in the motor industry have frequent changes of car within EIM23755, it is sometimes argued that an additional discount or reduction should be allowed from the charge calculated from the notional car. The usual grounds are that the employee does not know what car is being made available from day to day, only that a car will be available, and that this merits special treatment.

Do not agree to this. It compromises the basic principle that this approach is not intended to result in a lower tax charge than would be the case if the car benefit were calculated separately for every single car (see EIM23755).

2009/10 and later years

See EIM23820.