The Institute of Car Fleet Management (ICFM) has launched new masterclasses to help members and non-members understand the changes to salary sacrifice and cash allowance schemes.
The new regulations will be introduced on April 6 2017. ICFM research among fleet decision-makers has highlighted car salary sacrifice and company car tax along with cash or car allowance issues as the biggest challenge this year.
The government’s 2017 Budget on March 8 is expected to confirm the new rules.
Employees opting for a salary sacrifice arrangement or taking a company car in lieu of a cash alternative will pay tax on the higher of the existing company car benefit value and the salary sacrificed or cash allowance forgone.
However, car arrangements in place before April 6, 2017 will be protected until April 2021 and ultra-low emission cars - those with CO2 emissions of 75g/km or less - are exempt from the regulation. Even then not all cars will be impacted and employers and employees can still enjoy financial and other benefits associated with salary sacrifice arrangements.
The ICFM Masterclass will be held on March 22 from 10am-2.30pm and is being hosted by RAC at its operations control centre, RAC House, alongside the M6 in the West Midlands.
Expert speakers will be Alison Argall, business development director sales at Tusker, and Claire Evans, head of fleet consultancy Zenith. The speaker line-up will be completed by Dan Rees, associate director, Deloitte Car and Mobility Consulting.
ICFM director Peter Eldridge said: “There is a definite appetite, according to our research, among fleet decision-makers for Masterclasses on current key and complex issues that deliver in-depth insight and practical advice.
“From the feedback we have received, the government’s changes to car salary sacrifice rules - and related cash or car allowance rules - is a major issue for many employers and employees. ICFM’s first masterclass will dispel the rumour and speculation with experts delivering the facts. Fleet decision-makers cannot afford not to attend.”
The inaugural Masterclass will be followed in mid-year with a second one focusing on operational road risk.
The cost of attending the Masterclass is £99 for ICFM members and £135 for non-members.