The Income Tax (Cash Equivalents of Car Fuel Benefits) Order 1994

Made: 29th November 1994

Laid before the House of Commons: 29th November 1994

Coming into force: 6th April 1995

The Treasury, in exercise of the powers conferred on them by section 158(4) of the Income and Corporation Taxes Act 1988[^f00001], hereby make the following Order—

1

This Order may be cited as the Income Tax (Cash Equivalents of Car Fuel Benefits) Order 1994 and shall come into force on 6th April 1995.

2

In section 158 of the Income and Corporation Taxes Act 1988 (car fuel) for the Tables in subsection (2) (tables of cash equivalents)[^f00002] there shall be substituted—

Signed

Timothy Kirkhope — Tim Wood — Two of the Lords Commissioners of Her Majesty’s Treasury — 29th November 1994

Explanatory note

(This note is not part of the Order)

This Order substitutes, with effect from 6th April 1995, new tables of flat rate cash equivalents for those set out in section 158(2) of the Income and Corporation Taxes Act 1988. Directors and employees earning £8,500 or more a year are chargeable to income tax on an amount equal to the appropriate cash equivalent of the benefit of car fuel made available for private use by reason of their employment.

Table A applies where the car has an internal combustion engine with one or more reciprocating pistons and is not a diesel car, and Table AB where the car has an internal combustion engine with one or more reciprocating pistons and is a diesel car. Table B applies where the car does not have an internal combustion engine with one or more reciprocating pistons, and accordingly applies to rotary engined cars.

Footnotes

[^f00001]: 1988 c. 1; section 158(4) was amended by section 53(3) of the Finance (No. 2) Act 1992 (c. 48).

[^f00002]: Section 158(2) was substituted by section 53(2) of the Finance (No. 2) Act 1992 and amended by section 87(1) of the Finance Act 1994 (c. 9).