Businesswoman at the wheel of a pool car
Will a pool car user be liable for company car tax?
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More information on pool cars and company car tax

AS an employee you do not have to pay company car tax on a pool car, no matter how often you drive it.

As long as the use of the pool car is business use only – and you don’t take it home at night or use it for commuting between your home and your place of work.

In fact if an employee uses any company vehicle for business use only – that is, they do not drive any private mileage, use it for commuting or park it at home overnight – they are not liable for benefit in kind company car  tax.

And as company cars attract benefit-in-kind charges HMRC is very strict on ensuring that employees don’t use pool cars  as their regular means of transport in a bid to avoid company car tax. The same goes for vans, too.

The best way to ensure compliance with HMRC and there is no need to pay tax on a pool car is to keep a log of the use of the pool car and state clearly that employees must not drive the pool car for private use.

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