Commentary on Sections Example 3 £150(Pe) – £50(E) = £100 Section 219: Extra amounts to be added in connection with a car
869.This section sets out the special rules applicable to Step 2 in section 218 and deals with the treatment of car benefit. It derives from section 167(2)(a), (2B), (2C) and (2D) of ICTA.
870.Subsection (1) sets out that the extra amounts are to be added in connection with a car where a car is made available by reason of the employment in the tax year in question.
871.Subsections (2) to (4) describe the first type of extra amount to be added. This is the higher of:
	the cash equivalents of the car benefit and of any fuel benefit (calculated in accordance with Chapter 6); and
	where an alternative to the benefit of the car is offered, the amount which might be chargeable to tax under Chapter 1.
872.Subsections (5) and (6) set out the second kind of extra amount to be added. These are amounts which would come into charge under Chapters 3 and 4 if it were not for the effect of the exemptions in sections 239 or 269. This derives from the effect of disapplying section 157(3) in section 167(2)(a) and from 167(2D).
873.Subsection (7) makes sure that section 216(1) is disregarded for the purposes of computing any extra amounts to be added in connection with a car.