Just a week after HMRC released new guidance that classed double-cab pickups as
cars rather than vans, the government reversed the decision.
On 19 February, HMRC confirmed that it's reversing the updated guidance announced
on 12 February, meaning that double-cab pickups will continue to be treated as
goods vehicles rather than cars.
The government said it reversed course after listening to concerns from farmers
and the motoring industry on the impact of the changes to the tax treatment.
The government has acknowledged that the 2020 court decision and resultant
guidance update could have an impact on businesses and individuals in a way that
is not consistent with the government's wider aims to support businesses
Double-cab pickups will continue to be goods vehicles for tax purposes and the
tax on benefits in kind will not increase when employers provide these vehicles
to their employees.
Nigel Huddleston, Financial Secretary to the Treasury, said:
'We will change the law at the next available Finance Bill in order to avoid
tax outcomes that could inadvertently harm farmers, van drivers and the UK's
economy.'
Internet link: GOV.UK