Company Car Rules for Employees

Leasing company car is more tax efficient than owning a car for salaried employees. The agreement applies to all employees eligible to receive a company car and use it to complete both business and private transport needs specified in the contract.

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The Sindh High Court has ruled that the Pakistan International Airlines is at liberty to remove or retire from services any of its employees on the ground of misconduct insolvency and.

. Normally we have seen a lot of salaried employees having several queries about the tax liability of owing a car and using it for both personal and office use. Leasing a car differs from a commercial hire purchase under which the interest and depreciation is tax deductable. However tax laws were changed in 2017 to close this loophole and for cars at least BiK tax was introduced on the amount of money you were sacrificing.

Download our template to ensure its proper use. When salary sacrifice car schemes were introduced the savings often outweighed the company car tax incurred making it a very cheap way for employees to drive a new car. A company car policy or agreement is a contract that outlines how employees can use a company car.

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