In JB Little v HMRC (TC01184 – 7 June) a company director was provided with a Porsche by his employer. HMRC issued amendments to his self-assessments charging tax on car fuel benefit under ITEPA 2003 s 149.
The First-tier Tribunal dismissed the director’s appeal finding that he had paid for the fuel for the car for by the use of a company credit card and that he had not produced any records indicating that he had reimbursed the company for the cost of the fuel.
Why it matters: ITEPA 2003 s 149 provides that where car fuel is provided to an employee the cash equivalent of the fuel benefit is treated as earnings. ITEPA 2003 s 151 provides that the ‘cash equivalent’ is nil if the employee complies with a requirement to reimburse the whole of the cost of...
