17 July 2025
HM Revenue and Customs (HMRC) has added NIM06445, which follows NIM06440, to clarify the position of National Insurance contributions for charging at home.
The new page reads:
Company Electric Car
Where employee uses their own electricity to charge a company electric car which is used for business and private use and there is no reimbursement by the employer no Class 1 or Class 1A NICs are due.
Privately Owned Electric Car
Where employee uses their own electricity to charge an employee owned electric car which is used for business or mixed use and there is no reimbursement by the employer no Class 1 or Class 1A NICs are due. See NIM05803 for Approved Mileage Allowance Payments (AMAPs) rules when an employee’s electric car is used and the employer reimburses for business mileage.
There are no Class 1 or Class 1A NIC’s due for private use.
For the purpose of clarity, NIM06440 also states regarding reimbursement on privately owned cars:
Privately Owned Electric Car
See NIM05803 for AMAP rules when an employee’s electic car is used and the employer reimburses for business mileage. For private use, reimbursement is treated as earnings under Section 3 SSCBA 1992.
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