The confirmation from the Government that drivers will not be left out of pocket follows widespread revelations that Volkswagen Group used software devices to pass official nitrogen oxide (NOx) emissions tests in the US. VW used ‘defeat devices’ to pass emissions tests The Government has also confirmed that drivers will not incur higher Vehicle Excise Duty if their existing vehicles are found to be fitted with the software that manipulated the emissions tests. “As the car benefit charge is calculated on the basis of the figures shown on the approval certificates, the tax position for benefit-in-kind purposes remains unchanged.” “Company car tax is based on the CO2 emission figures for the particular type of car, shown on either the UK approval certificate or the EU approval certificate. In a statement, HM Revenue & Customs (HMRC) said that company cars will not be re-banded for Benefit-In-Kind tax or Vehicle Excise Duty, leaving monthly costs unchanged.Īt the same time, Volkswagen Group has set up separate websites for its affected brands in the UK so that drivers can check via their VIN numbers whether their cars are involved. Around 1.2m cars set for recall in the UK across four brandsįleet managers and company car drivers have been given the good news that they will not face increases in company car tax, regardless of the outcome of the emissions scandal involving Volkswagen Group vehicles.
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