EIM23425 - Car benefit: non-Euro IV diesel cars (type D)

Section 141 ITEPA 2003

This page relates to step 5 of the method statement in Section 121(1) ITEPA 2003, see EIM23101.

For diesel cars that are not approved to the Euro IV/Euro 4 standard, the appropriate percentage based on the CO2 emissions figure is increased by 3%. So if that figure is 18%, the appropriate percentage used to calculate the car benefit charge is increased to 21%. See example EIM23491.

The supplement cannot take the appropriate percentage above the maximum 35%.

The diesel supplement only applies to cars first registered on 1 January 1998 or later. For cars registered before 1 January 1998 see EIM23480.

Cancellation of the supplement

The supplement is cancelled for diesel cars that are approved to the Euro IV/Euro 4 standard (type L), but only those which were first registered on or before 31 December 2005. The supplement applies to type L cars first registered on or after 1 January 2006 as it does to type D cars. Type L cars are dealt with at EIM23430.

Application to qualifying low emissions cars (QUALECs)

The supplement applies to QUALECs ( EIM23402) from 2008/09, the first year for which the term is defined.