Your employee uses an employer-provided vehicle with an Original Market Value (OMV) of €30,000. It is a Category B vehicle and their annual business travel is 9,000 kilometres. They are not required to pay towards the cost, or the running expenses, of the car. Your employee spends more than 70% of working time away from your premises.
The cash equivalent is calculated as €6,300 for the year (€30,000 x 26.25% x 80%).
Your employee is paid weekly. A cash equivalent of €121.15 (€6,300/52) should be added to their taxable wage. You should calculate Income Tax, Pay Related Social Insurance (PRSI) and Universal Social Charge (USC) on the total amount.