Heading
Close X
Menu
01.07.2019
Good news for companies choosing to drive purely electric vehicles – you will not have to pay any benefit-in-kind (BIK) tax in 2020/21! This comes as a long-awaited response to the review of WLTP and vehicle taxes, where the HM Treasury has, in fact, removed the previously published BIK rates for the next tax year altogether.
The government has stated that: “By providing clarity of future appropriate percentages, businesses will have the ability to make more informed decisions about how they make the transition to zero-emission fleets.”
As a result, this means that company car drivers and fleet operators who choose a new car from April 2020 will no longer have to worry about an increased tax liability when they compare the car to an identical petrol or diesel model.
However, you should be aware that these changes do not affect the lease rental restrictions, capital allowances or any other CO2-related taxes and incentives, but will include fuel benefit charge. And existing vehicle excise duty (VED) rates will stay the same from 6 April 2020, despite the introduction of WLTP values for tax purposes from this time.
This therefore means it’s the perfect time to look at upgrading your fleet to electric vehicles, as not only will your tax rates be reduced, but your fleet will also cost less to run, which means you will be seeing a significant reduction in expense!
Some of the electric cars we have available for you to choose from are:
If you’d like to find out more about any of these models, head over to our dedicated Hybrid/Electric section of our website today, or get in touch with a member of our team at your local Johnsons today!
Whatever your question or feedback we are here to help. So please feel free to contact us.
Johnsons Cars Limited is an appointed representative of ITC Compliance Limited which is authorised and regulated by the Financial Conduct Authority (their registration number is 313486) and which is permitted to advise on and arrange general insurance contracts as an intermediary.
Johnsons Cars Limited is authorised and regulated by the Financial Conduct Authority for consumer credit activity and our registration number is 688450. Permitted activities include acting as a credit broker not a lender. We can introduce you to a limited number of finance providers. We do not charge a fee for our Consumer Credit services. We do not act as a financial adviser, or fiduciary. We act in our own interest, whichever lender we introduce you to, we will typically receive commission from them based on either a fixed fee or a fixed percentage of the amount you borrow. Any and all commission amounts will be fully disclosed to you as part of your sales journey. You will be required to give your fully informed consent to our receipt of this commission. By doing this, you acknowledge that you understand our role as a credit broker, and that we will receive a financial incentive if you take out a loan from a lender that we introduce you to.
All finance applications are subject to status, terms and conditions apply, UK residents only, 18’s or over, Guarantees may be required. View our full finance disclosure.
