Change In circumstances

[kerribrown]

Hi I have had a company car for the past 5 years and have now brought my own car. What do I need to do in regards to tax? Will I benefit from any money back?

[kags]

You need to tell your Tax Office that your circumstances have changed, telling them the exact date you stopped having the use of the company car. Your tax code will be changed to remove the restriction for the car, and you may be due a small refund. Don't get too excited though, as in theory, if the code was correct and is adjusted quickly, you should have paid roughly the right amount of tax already.

[Piper-AK]

Make sure they put you on a week one tax code, as otherwise you could end up owing them money! A mate of mine had their code b**gered up. They gave up the co. car mid tax-year. The code was adjusted accordingly to give the usual personal allowance, but wasn't put on week one so it looked as if she'd overpaid tax for six months previously. Come the end of the tax year she then had to pay the tax back through the next year's tax code......

[kags]

You don't need a week/month one code if the restriction for the company car is adjusted to account for only 6 month's use of the car. You would only need a week/month one code if the restriction was completely removed.

[kerribrown]

Ok thanks, Ill wait til everything has been signed and then Ill give them a call and make sure everything is included. My employer is a bit on the useless side so I didnt want to rely on them!