There are several ways for employers to tell HM Revenue and Customs about the car benefits they provide to an employee or company director.
This guide explains how to inform HMRC online or use postal form P46(Car) that you are providing company cars to your employees.
Does your company allow the private use of a car by an employee or director? If so, this guide explains what you need to report.
HM Revenue and Customs need to know if you have provided, replaced, or withdrawn a car for an employee's private use.
The journeys employees make between home and work is also classed as 'private use' (unless travelling to a temporary place of work).
Note: A guide explaining how to tell HMRC you have provided or withdrawn a car for an employee's private use is also available in Welsh language (Cymraeg).
The P46 (Car) form is a document used for notifying HM Revenue and Customs (HMRC) that an employer is:
There are several ways to send the (P46(Car)) form, including:
In some cases, you also need to pay Class 1A National Insurance on the value of the car benefit. The section on expenses and benefits contains more information about what to report on end-of-year forms.
HMRC also need to know if you replace any of your company cars. You can notify them using the PAYE Online service, your payroll software, or your end-of-year forms.
Important: The process differs for employees who need to tell HMRC about changes to their PAYE company car or fuel benefit details (details below).
The date that you change or stop providing the benefits of a company car determines the deadlines of when you need to tell HMRC.
There is no need to send a report about an employee's company car if the vehicles that you provide are (any):
The online service is for employees who need to pay tax on company benefits (e.g. cars, accommodation, loans). You can use it to:
You will need to know the list price of the car (including VAT and accessories) as well as:
Note: Information on checking or updating your company car tax is also available in Welsh language (Cymraeg) via the GOV.UK website.
Tell HMRC about a Car Provided to an Employee for Private Use