Company car users can update their details online
27 April 2016
Instead of phoning or writing to HMRC, your employees can update their company car details online through the check or update your company car tax online service in their Personal Tax Account.
HMRC’s latest Employer bulletin highlights that updating a company car is just one aspect of the Personal Tax Account, which individuals can use to view information about their income tax and tell HMRC online about changes that may affect the tax they pay.
If any of your employees have not yet used their account they can register in a few minutes.
There are now four YouTube videos available on GOV.UK which provide more information about each function available through the online service:
- Check the information online to see the information HMRC has about your company car and car fuel benefits;
- Add a company car benefit to add company car benefit to your tax code for the first time;
- Remove a company car benefit to remove company car benefit from your tax code if you no longer have access to it; or
- Replace a company car benefit to update your company car benefit or car fuel benefit.
Making these changes online means that your employees don’t have to wait for HMRC to update their tax code.
It also means that if your employees use the online service, as an employer you should get fewer enquiries. Your employees can see the tax code changes they make online to their company car and these are made in real time, which means they’re less likely to approach their HR or payroll departments.
Some employers are now working with HMRC to promote the company car service to their employees. You can contact HMRC by email if you are also interested in a wider promotion of Personal Tax Accounts with your employees.
The check or update your company car tax service isn’t available to employees who are part of a car averaging scheme or who have their benefits taxed through their company payroll (payrolling).