As the subject of taxes in the UK has been mentioned a couple of times I thought I would give a working example.
I had to do some work for my tax assessment today or my company car and fuel card.
My company provides me with a car (Toyota Celica) and a fully expensed fuel card (I don't pay for my fuel at all - business or private), now these are considered 'perks' and as given a cash value for the purpose of calculating how much tax I have to pay.
In effect this value is added to my annual salary and then they calculate how much tax I have to pay on the total amount.
Without giving exact figures the 'cash equivilent' for these is as follows.
Company Car - £4,500
Fuel - £3,500
This addition to my salary happens to easily push me into the higher tax bracket in the UK and as such I get royally stuffed by the tax man each year.
What really bites for me is that I cover around 20-30,000 miles a year for work and as such consider it more a tool of my trade than a perk.
Regards
Scaff