Section 114 — Income Tax (Earnings and Pensions) Act 2003: Cars, vans and related benefits

Cars, vans and related benefits 114 1 This Chapter applies to a car or a van in relation to a particular tax year if in that year the car or van—

a is made available (without any transfer of the property in it) to an employee or a member of the employee’s family or household, b is so made available by reason of the employment (see section 117),

and c is available for the employee’s or member’s private use (see section 118). 1A Where this Chapter applies to a car or van, the car or van is a benefit for the purposes of this Chapter (and accordingly it is immaterial whether the terms on which it is made available to the employee or member constitute a fair bargain).

2 Where this Chapter applies to a car or van—

a sections 120 to 148 provide for an amount in respect of the benefit of the car to be treated as earnings, b sections 149 to 153 provide for an amount in respect of the benefit of any fuel provided for the car to be treated as earnings, ... c sections 154 to 159 provide for an amount in respect of the benefit of the van to be treated as earnings ;

and d sections 160 to 164 provide for an amount in respect of the benefit of any fuel provided for the van to be treated as earnings in certain circumstances. 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3A This Chapter does not apply to a van in relation to a tax year if the private use of the van during the tax year by the employee or member of the employee’s family or household is insignificant.

4 The following provisions of this Chapter provide for further exceptions— section 167 (pooled cars); section 168 (pooled vans); section 169 (car available to more than one member of family or household employed by same employer). section 169A (van available to more than one member of family or household employed by same employer).