From April 2007, the benefit-in-kind tax charge on company vans will soar from £500 to up to £3,500 – unless they can prove that the van is only used for business not personal use.
The scale charge for unrestricted private use will increase to £3,000 and if an employer provides fuel for unrestricted private use, an additional fuel charge of £500 will apply.
With the onus on employers to provide proof of use, Navman is urging them to consider the benefits of vehicle tracking technology to present unequivocal evidence of when, where and how a vehicle has been used.
Tony Neill, vice-president Europe, Middle East and Africa at Navman Wireless Business Solutions, explained: ‘For 90p a day, employers can find out exactly what their drivers are doing and where they are doing it. Unlike most other tracking products, the Navman system automatically keeps accessible records for 18 months before archiving – equipping employers with documented proof that the van is being used only for business use.’
The 24/7 activity tracking reports include detailed information, highlighting every time a driver switches his engine on or off, for example, or if he leaves his allocated area.