Can I Use My Business Van For Personal Reasons?

Vanaways
Vanaways
18th Sep 2023
Can I Use My Business Van For Personal Reasons?

If you own a business vehicle of any kind, it’s important to understand the tax rules and implications of using the vehicle for personal use. In this blog, we are going to dive into the rules and regulations regarding using a business van for personal reasons. To find out more about business cans for personal use, keep on reading!

Can I Use My Company Vehicle For Personal Use?

The short answer to this question is, yes. Technically, you can use a business van for personal reasons, however, there is a catch which is related to the tax paid on the vehicle. Personal use of a vehicle can include anything that is not related to your business, such as errands, commutes or any other kind of personal journey.

What Happens If Someone Uses A Business Vehicle For Personal Use?

If an employee, or anyone is using a company vehicle for personal use, the vehicle will become susceptible to ‘Company Van Tax’ and something called ‘Benefit In Kind’ or BIK is then paid to HMRC. Having a work van for personal use is considered a ‘benefit’ on top of your salary, which is why you must pay tax as a result.

Benefit In Kind Tax

You can find out what BIK band your vehicle sits in by checking the HMRC website to help you work out how much tax you are being charged for personal use of your business vehicle. This charge is calculated based on a few factors:

  • The value of the car
  • The CO2 emissions
  • Your own personal tax rate

The higher the value of your vehicle, or the higher the CO2 output, the higher your BIK charge will be. It’s helpful to note that you don’t have to pay the full value of BIK tax to HMRC, and the value that you pay will be based on your current tax. For example, if you currently pay 20% in tax, you will be charged 20% of the Benefit In Kind value, rather than the full amount.

If you have a diesel vehicle, you may find that your vehicle falls into a BIK band that is charged more tax, as a result of CO2 emissions.

Vanaways

Here at Vanaways, we offer a range of new, used and electric vans that could be your next purchase! From small commercial van purchase to leasing vans for business, we are sure to have the perfect vehicle for you!

To find out more about our business van leasing or vans for sale, feel free to head to our website to find out more information. Alternatively, you can contact us today to find out more about our services and how we can help you.

Vanaways Reviews

   
Lynne S

Lynne S

04 March 2026

"First time using Vansaway! I was in a bit of a panic as my van broke down and I was unable to fix it. My van is my livihood, so I looked into leasing and contract. I wish I done it sooner. I spoke to Jonathan as my first point of contact. I couldn't have got any luckier having him as my support. He was absolutely fantastic, he went above and beyond to help me. He was easy to contact and would always reply when I had any concerns or questions. His knowledge on all vehicles was impeccable, which made things easier. He listened to what I wanted and needed and explained everything thoroughly help me making the right choice in plan and kept in touch throughout the entire process! He knew I was in desperate need of a van and he did not disappoint and kept his word and I was able to get my new van delivered as soon as possible. Enjoying the drive. Its great about the perks involved in having a contract hire as well! Thank you so much for everything! Highly recommend, vans are just not how they use to be, so its great to have a brand new van along with the support of any engine faults things like that. A huge stress off my shoulders being sole trader."

Fiona

Fiona

30 May 2026

"First time leasing with Vanaways, but have leased before. Initial contact was with Justin, who found the van I need very quickly at a competitive price. No hard sell, and seamless. Yasmine completed the admin and arranged delivery. Great service from both. Follow up calls to see if I was satisfied with van. Professional and efficient, would highly recommend."

Mike Collins

Mike Collins

18 February 2026

"Excellent service from start to finish. Rob was very helpful throughout the purchase of our Ford Transit tipper. Can’t recommend them enough. Mike Collins."

John Owens

John Owens

14 April 2026

"Fantastic service from start to finish. This is the second vehicle we have had from Liam.Liam took the time to listen to the vehicle that I wanted, sourced exactly what I wanted. Within 2 weeks the right vehicle was sourced and delivered Joe was amazing kept me up to date with the progress, the van was delivered this morning early. highly recommend these guys for vehicles Thank you both"

phoebe palmer

phoebe palmer

11 March 2026

"I recently bought a new car from this company and had a fantastic experience from start to finish. Tyler and Steve C were both brilliant to deal with – friendly, professional and incredibly helpful throughout the whole process. They took the time to answer all my questions and made everything straightforward and stress-free. The customer service was excellent and I never felt pressured at any point. Both Tyler and Steve C really went above and beyond to make sure everything was sorted and that I was happy with the car. I couldn’t recommend them enough and would definitely buy from them again in the future. Thanks again for such a great experience!"

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