Section 149 — Income Tax (Earnings and Pensions) Act 2003: Benefit of car fuel treated as earnings

Benefit of car fuel treated as earnings 149 1 If in a tax year—

a fuel is provided for a car by reason of an employee’s employment, and b that person is chargeable to tax in respect of the car by virtue of section 120 or 120A , the cash equivalent of the benefit of the fuel is to be treated as earnings from the employment for that year.

2 The cash equivalent of the benefit of the fuel is calculated in accordance with sections 150 to 153.

3 Fuel is to be treated as provided for a car, in addition to any other way in which it may be provided, if—

a any liability in respect of the provision of fuel for the car is discharged, b a non-cash voucher or a credit-token is used to obtain fuel for the car, c a non-cash voucher or a credit-token is used to obtain money which is spent on fuel for the car, or d any sum is paid in respect of expenses incurred in providing fuel for the car.

4 References in this section to fuel do not include any facility or means for supplying electrical energy or any energy for a car which cannot in any circumstances emit CO 2 by being driven .