Leading fleet funding and vehicle taxation experts BCF
Wessex has updated its Fleet Tax Guide benefit-in-kind calculator which, in
what is believed to be an industry-first, now includes the ability for users to
find out if the cash alternative offered by their employer will increase their
The Fleet Tax Guide, which is available via an online mobile
app, has been enhanced for 2017/18 to reflect all the spring Budget tax
announcements including confirmation of reforms to car salary sacrifice and car
or cash allowance rules.
Essentially the new rules, known as Optional Remuneration
Arrangements (OpRA), mean employees opting for a salary sacrifice arrangement
or taking a company car in lieu of a cash alternative will pay tax on the
higher of the existing company car benefit value and the salary sacrificed or
cash allowance given up. However, car arrangements in place before 6 April,
2017 are protected until April 2021 and ultra-low emission vehicles - currently
those with CO2 emissions of 75g/km or less - are exempt from the regulation.
BCF Wessex director David Rawlings said the new
data-driven tax calculator - available at http://taxguide.bcfwessex.co.uk
- allows Fleet Tax Guide users to calculate the income tax due on a company
Not only does the Fleet Tax Guide use an extensive
vehicle database, but critically includes a new calculation that enabled users
to find out if the cash alternative offered by their employer would increase
their tax burden.
Mr Rawlings said: “A huge number of company car drivers
also get offered a cash allowance, the new way that benefit-in-kind tax is
calculated may give them a financial headache if they don’t consider the effect
cash alternatives now have on the cash or car decision. We believe we are the
first to introduce this particular functionality to a benefit-in-kind tax
As well as the benefit-in-kind tax calculator, the
2017/18 updated Fleet Tax Guide includes a summary of the 2017 Budget and a
comprehensive set of relevant tax tables.
To access the Fleet Tax Guide via an app type http://taxguide.bcfwessex.co.uk into
a smartphone, tablet or desktop browser.