BIK on car

[trg]

Hi folks,

I know the gist of BIK on a car with the taxable value based on the business mileage and the original market value of the car.

Assume a car with original value of €30,000 & very low mileage so you're taxed on 30% i.e. €9,000.

Is there any consideration given to whether it's fully expensed or not?

If one individual gets all maintenance, insurance, fuel etc paid by their employer and another individual just gets the use of the car only, are they both taxed the same?

 

[Joe_90]

If the employee pays the expenses to the employee it's deducted from the cash equivelant if paid directly then not.

Not really sure why.

http://www.revenue.ie/en/tax/it/leaflets/benefit-in-kind/private-use-cars.html#section6

 

[trg]

Thanks, that's clear alright.

If employer was to pay the fuel bill and then deduct from monthly salary the BIK could be reduced accordingly at no cost to the employer if I understand correctly