HM Revenue & Customs (HMRC) has updated its guidance around the transition rules for double-cab pickups, relating to Benefit-in-Kind (BiK) changes that came into force in April this year, following input from the BVRLA.
The BVRLA shared that leased double-cab pickups can transfer between employees without the transition treatment ending if the lease does not end. The guidance from HMRC now includes examples for greater clarity of on such situations.
Example included within guidance:
"Employer E leased a double cab pickup on 2 February 2025 and made it available to Employee A on 5 February 2025. The vehicle was then transferred to Employee B on 9 September 2025. As this was leased before 6 April 2025, the previous rules continue to apply for Employer E until the earlier of the lease expiry, or 5 April 2029. And as the transitional arrangements apply, reallocating the vehicle to Employee B will not alter the vehicle’s classification as a van, provided the lease has not expired."
Guidance on the GOV.UK website: EIM23151 - Car benefit: double cab pickups 6 April 2025 onwards.
