Personal Tax Computations

chelvinchelvin New MemberPosts: 12Registered
Can anyone help me answer a question on a Tax Computation please....

The computation says
The company will provide Tom with a new 1400cc Car Costing £19,500 which is primaruly for his personal use. Peotrol for private use will be provided but Tom must make a contribution of £500 per year towards its cost.

Advise Tom of the taxiation implications of his employment package as it stands with illustrative figures.

Comments

  • kjg-kjkjg-kj Feels At Home Posts: 68Registered
    He will have a car benefit, however you need to know the CO2 emissions to work this out. It will result in a % between 15 - 35%. This figure is multiplied by the list price of the car (£19500) to give you the car benefit figure.

    He will also have a fuel benefit which is £14400 x % used in the car benefit calculation. He will receive no deduction from the fuel benefit even though he has contributed towards its cost.
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