HMRC recently announced that from 1 July 2024 major changes relating to the tax treatment of double-cab pick-up trucks would come into effect - but earlier this week (on 19th February), they back-tracked and now the existing VAT rules will continue to apply.
The change would have related to capital allowances (the allowance against corporation tax for companies, or income tax for the self-employed), and car benefit rules for employees with a company vehicle. It had been stated that double-cab pick-up trucks would be treated as cars for tax purposes, rather than being treated as commercial vehicles.
HMRC state that their U-turn was made in response to feedback from farmers and the motoring industry.
So, to summarise... double-cab pick-up trucks will now continue to be treated as goods vehicles where they have a payload of one tonne or more.
Please contact us if you have any questions, or would like to discuss a vehicle purchase/lease and potential tax implications for your business.
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