Clause added to bring about change to OPRA rules for cars and vans

09 July 2018

The clause that has been introduced, with effect from the 2019-20 tax year, will bring about amendments to the optional remuneration arrangements (OpRA) legislation introduced in section 7 and Schedule 2 to the Finance Act 2017.

The changes aim to ensure that when a taxable car or van is provided through OpRA, the amount foregone includes costs connected with the car or van which are regarded as part of the benefit in kind under normal rules.  In addition, the changes adjust the value of any capital contribution towards a taxable car when the car is made available for only part of the year.

Full details of the clause together with the policy intent and background to this amendment can be found at GOV.UK.

Comments or concerns relating to this amendment can be made by email to employmentincome.policy@hmrc.gsi.gov.uk.