HC Deb 05 March 1985 vol 74 c488W
Mr. Iain Mills

asked the Chancellor of the Exchequer how much a business user of a company car pays in petrol tax and duty where his annual mileage is 25,000 miles.

Mr. Hayhoe

Typically about £650 a year in petrol duty at the current rate. Value added tax on petrol can be reclaimed in respect of business use.

Mr. Iain Mills

asked the Chancellor of the Exchequer if he will estimate the additional cost to a company car user travelling 25,000 miles per annum if petrol duty were increased by 35p per gallon.

Mr. Hayhoe

It is estimated that the additional annual cost would be about £275.

Mr. Iain Mills

asked the Chancellor of the Exchequer if he will raise the level of salary, at which taxation of company cars starts, to £12,000 per annum.

Mr. Moore

I have noted my hon. Friend's suggestion.