When a company puts a car at the disposal at a director or employee for free, they obtain a taxable benefit in kind. The company itself should report 17% of the expenses as disallowed expenses. Since the beginning of this year this percentage has increased up to 40% for companies which also bear the fuel costs. This rule gives rise to a lot of extra administration: in case the company wants to avoid that it will have to report 40% as disallowed expenses, it will have to demonstrate that only professional fuel costs were taken into consideration.
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