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Posted Thu, 16 Nov 2023 10:17:52 GMT by Lucy Rees
When calculating the P11D Value for a salary sacrifice car benefit, is the P11D value reduced by the monthly salary sacrifice amounts made by the employee?
Posted Tue, 21 Nov 2023 09:33:27 GMT by HMRC Admin 19

No, a salary sacrifice is not an amount made good, capital contribution, or payment for private use. When an employee sacrifices salary they make a contractual change giving up the right to that salary. So it is employer money and has never been paid to the employee therefore it does not reduce the car benefit charge.

You need to report the higher amount of the amount sacrificed, amount foregone, or the car benefit charge. Unless it is an ultra low emission vehicle which is exempt from the optional renumeration rules where you would just report the car benefit figure. 

Thank you.
Posted Wed, 22 Nov 2023 17:03:23 GMT by Lucy Rees
Thank you. If the car was provided part way through the tax year, do the days before it was provided count as 'days unavailable for use' ?
Posted Mon, 27 Nov 2023 15:38:54 GMT by HMRC Admin 17

No due to the fact you would add the date made available then pro-rata the cost by the amount of days available,

there is no need to account for days before you owned the car. 

Thank you .

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