Change will increase tax burden.
As businesses digested last week’s Budget – particularly additional staffing costs – a new employee tax may have gone under their radar.
Employer-provided double-cab pickup vehicles over one tonne will no longer be taxed as company vans from 6 April, 2025.
Instead, these popular vehicles will be taxed as company cars, significantly increasing the tax burden for the employee and the National Insurance Contribution (NIC) for the employer.
Transitional rules will be in place to protect the tax treatment of double-cab pick-ups provided, or ordered, before 6 April, 2025 for a maximum of four years.
The British Equestrian Trade Association (BETA) alerted its members to this revision, pointing out that it was “slipped into the official Budget documentation after the Chancellor’s speech.”
