There is no tax charge on a director or employee within the
benefits code on the provision of a car or motorcycle parking space
at or near his place of work. Facilities for parking bicycles are
The words 'at or near' are not defined in the Act. A rigid approach is not required. Apply the exemption in any case where parking facilities can be said to be within a reasonable distance from the place of work having regard to the nature of the locality. Do not deny the exemption simply because there is a car park nearer to the place of work.
The Transport Act 2000 allows local authorities to levy a charge on employers for workplace parking provided to employees. Where local authorities do so the employee will not be chargeable to tax on the cost of the car parking because of the exemption in Section 237(1) ITEPA 2003.
As regards the payment of expenses in respect of workplace parking facilities see EIM01030. Where vouchers or credit-tokens are used see EIM16100.
See EIM21686 for the treatment of car parking penalties and fines.