Identify the vehicle and user first
A sole trader’s business car, a company car provided to a director-shareholder and a private car used for reimbursed business travel do not automatically follow the same treatment. Ownership, availability, vehicle details and actual use are the starting point.
Assess VAT separately from income and payroll tax
The treatment of private use for profit or payroll tax does not automatically determine the VAT adjustment. Commuting may also be treated differently. Keep a clear account of costs, use and the method applied to each tax.
Build evidence while the vehicle is used
Where restricted private use supports a tax position, maintain appropriate records throughout the year. Driver changes, replacement vehicles and periods in a workshop should be explainable. Compare calendars, odometer readings and journey records regularly, while missing details can still be reconstructed reliably.
Source and background: Belastingdienst – Veranderingen inkomstenbelasting 2026.
