UK tribunal judge ruled that public EV charging should be taxed at the 5% domestic electricity rate rather than the 20% commercial rate, based on a de‑minimis threshold of 1,000 kWh per month. The decision, made after a challenge by Deloitte for Charge My Street, applies to B2C usage but leaves B2B charging at 20% pending further guidance. HMRC may appeal, but the ruling could reduce the ‘pavement tax’ on public charging.
Public EV charging will be taxed at the 5% domestic electricity rate instead of the current 20% commercial rate.
Electricity usage below 1,000 kWh per month is considered domestic under the de minimis rule.
No, B2B charging via fuel cards remains subject to the 20% rate unless further guidance is issued.
HMRC can appeal the decision, but the ruling currently stands.
Deloitte, on behalf of Charge My Street, mounted the legal challenge.
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