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Electric cars offer a tax free benefit option!

Electric cars offer a tax free benefit option!

Have you considered offering electrical rather than diesel or petrol cars to your employees? If not, perhaps these tax incentives might influence your decision…

It doesn’t matter whether the company owns or leases an electric car; either way it will get 100% tax relief on the costs incurred in relation to both the car and charging costs.

Not only that, during 2014/15 the employee would also be exempt from any personal benefit in kind charge in relation to both the car and the charging costs.  Thereafter, the benefit in kind charge for the car is much lower than other cars.

Electric cars therefore essentially offer a very tax efficient option for both employees and companies and as manufacturers bring more electric cars to the market this is an option that deserves some real consideration.

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