NIM06431 | Class 1 NICs: Expenses and allowances: Electric Vehicles: Introduction

Background

Electric Vehicles (EVs) made available by an employer for private use by an employee are treated in the same way as a non-EV taxable car made available by an employer.

See EIM23900 and NIM166001 for car benefit issues relating to electric cars.

The electricity used to charge the EV is treated differently from traditional fuel. The tax legislation intends to treat electricity differently in order to encourage more environment friendly travel options.

For information specifically relating to charging an EV see NIM06440 onwards.