Finance Act, 1976

Benefit in kind: minimum charge to tax in respect of use of vehicle.

23.—Where, by virtue of section 117 of the Income Tax Act, 1967 , a charge to tax falls to be made on any person in respect of the benefit derived by him from the provision of a vehicle within the meaning of section 30 of the Finance Act, 1973 , the amount to be charged to tax in respect of that benefit shall not, for the year 1976-77 or any subsequent year of assessment, be less than the greater of the following two amounts—

(a) £300, or

(b) 15 per cent. of the relevant cost of the vehicle within the meaning of section 32:

Provided that the amounts specified in paragraphs (a) and (b) shall, in a case where the vehicle is provided for part only of a year of assessment, be reduced in the proportion which that part of the year bears to the said year.