PICK-UP truck specialist Isuzu has launched a new benefit-in-kind campaign aimed at encouraging buyers to secure the Japanese brand’s D-Max model ahead of significant tax changes due in April.
The brand, now ranked second for sales in the UK pick-up market, is raising awareness of the forthcoming changes so that customers can make better-informed decisions about when to order a new pick-up in 2025.
Under HMRC’s updated legislation announced in last autumn’s budget, double cab pick-ups will no longer be classified as commercial vehicles for Benefit in Kind (BIK) and Capital Allowances (CA) purposes.
Instead, they will be treated as cars, leading to increased tax liabilities for buyers and businesses.
And Isuzu’s campaign will leverage digital and print channels to spotlight this change, alerting businesses and buyers to act fast to take advantage of the current tax benefits before the new rules come into force.
Isuzu UK chief Alan Able said: “The BIK campaign reflects our commitment to keeping our customers informed and empowered.
“We recognise that HMRC’s decision represents a fundamental shift in how double cab pick-ups are taxed. With this campaign, we aim to ensure our customers understand the implications and encourage them to act now to avoid higher costs later.
“The Isuzu D-Max has always been the backbone of businesses, and this campaign underscores the value it offers ahead of the upcoming changes.”
From April 6, double cab pick-ups will be treated as cars for BIK purposes, shifting from the current flat rate of £3,960 to a variable rate based on CO2 emissions and from April 1 these vehicles will also be classified as cars for Capital Allowances purposes, moving away from their prior status as ‘plant and machinery.’
Double cab pick-ups purchased or ordered before April 6 for BIK purposes (and April 1 for CA purposes) will retain their commercial vehicle classification until the earlier disposal – lease expiry or April 5, 2029.
But single and extended cab pick-ups remain classified as commercial vehicles.
The changes are being made because the Court of Appeal concluded that double cab pick-ups serve dual purposes, both passenger and cargo transport, necessitating their reclassification as cars for tax purposes.
