When a car is made available for private use, the car benefit charge is the only charge on the benefit of the car itself (for more information look at EIM23005).

Except for Class 1A NICs on the car benefit, no NICs are due on motoring costs the employer pays in connection with a company car other than the additional charges below.

There are additional charges for tax and a liability for Class 1A NICs where the following are provided:

• fuel for private use (for more guidance look at car fuel benefit)
• a chauffeur (for more guidance look at EIM23007).

There can be a liability for Class 1 NICs where a mobile telephone is provided. For more guidance look at NIM06225.

Level 3 Table of Contents