Update on Double-Cab Pick-Ups: HMRC are reversing

20th February 2024

Update on Double-Cab Pick-Ups


On the 12th February 2024, HMRC announced that their interpretation of the legislation had changed regarding the favourable tax treatment of pick-up trucks from 1st July 2024. However, after consulting farmers, construction workers and other industry professionals they have now reversed their decision!



Current Position

HMRC interprets the legislation in line with the definitions used for VAT purposes, which sees double-cab pick-ups with a payload of 1 Tonne or more being classified as a ‘commercial vehicle’ for tax purposes. This means that double-cab pick-ups currently qualify as a van, rather than a car, for taxation purposes, which qualifies them for more generous tax treatment.



Proposed changes and reversal of these changes

The proposed changes published on the 12th February 2024, would see a change in HMRC’s interpretation in that all double cabbed pick-up trucks would be treated as a car for benefit in kind and capital allowance purposes.

In a surprising turn of events, HMRC has reversed their decision! This reversal was announced on 19th February 2024, less than one week after their previous statement.



Moving forwards

Pick-up trucks, with a payload of one tonne or more, will still remain to be treated as commercial vehicles for VAT, capital allowances and benefit in kind purposes, therefore attracting favourable tax treatment.



Get In Touch

For more information on the update regarding Double-Cab Pick-Ups, please contact either myself or your local Whitings LLP office for more details.

Disclaimer - All information in this post was correct at time of writing.
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