In N Fowler v HMRC [2016] UKFTT 338 (13 April 2016) the FTT found that an employee was liable to tax on a car provided by her employer.
Ms Fowler had been employed on a fixed term contract by Cadbury. Under her employment contract she had been entitled to a salary and to a car allowance which could be paid in cash or alternatively provided as a car. Mrs Fowler had chosen the car option.
Ms Fowler contended that since Cadbury had deducted £490 per month from her car allowance and thus had only directly paid her the small balance of the total allowance to which she was entitled under her contract of employment she had borne the cost of the monthly payments under the leasing arrangement. The FTT found however that Ms Fowler had not contributed anything from her own resources towards...
