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Sting of fuel

Sue Moore has opined on the increase in the fuel charge.

The director at accountancy powerhouse Baker Tilly noted that for the 2012/13 year the fuel benefit charge is to increase from £18,800 to £20,200. For a 50% taxpayer driving a car with CO2 emissions of 220 grammes per kilometre this produces a tax of £3,535.

She asks 'Is it worth having all business and personal fuel paid for by the employer' adding that it may be time to 'opt out' in light of a lack of fuel at the forecourt leading to a 'cost that is as much as the benefit'.

Taxguide.co.uk has further information on the topic of company car tax available here.

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