Company fuel card tax

[Targarama]

If a user has to pay for all personal mileage does the fuel card benefit incur any BIK or other tax?

Thanks.

[CoolC]

No BIK if the car is only used for work related journeys.

But how does it work? If you have a card for fuel how are you paying for private mileage?

[Targarama]

End of month report, company then takes private mileage from salary at 15p + VAT per mile.

[edc]

At my previous company when I paid for personal mileage you would enter your total mileage and your business mileage, the difference being personal. The fuel card system would log the total spend, price per litre and litres used and calculate a deduction accordingly. Now 99% of my mileage is personal so I pay the BIK instead.

[Targarama]

Thanks. There is no BIK option for my wife (new job, car + fuel card with personal mileage recorded and charged back). So is there no BIK for the fuel card for her?

[edc]

Quite rightly so, most companies realise that it is cheaper for them to deduct personal mileage. Fortunately for me, I am in a position where I can dictate and/or influence that policy ...