This notice provides the maximum vehicle values for use with the special valuation rules under regulation section 1.61–21(d) and (e) for 2016.

# PURPOSE

This notice provides the maximum vehicle values for 2016 that taxpayers need to determine the value of personal use of employer-provided vehicles under the special valuation rules provided under section 1.61–21 (d) and (e) of the Income Tax Regulations.

# MAXIMUM VEHICLE VALUES

The maximum value of employer-provided vehicles first made available to employees for personal use in calendar year 2016 for which the vehicle cents-per-mile valuation rule provided under Regulation section 1.61–21(e) may be applicable is $15,900 for a passenger automobile and $17,700 for a truck or van.

The maximum value of employer-provided vehicles first made available to employees for personal use in calendar year 2016 for which the fleet-average valuation rule provided under Regulation section 1.61–21(d) may be applicable is $21,200 for a passenger automobile and $23,100 for a truck or van.

# EFFECTIVE DATE

This notice applies to employer-provided passenger automobiles first made available to employees for personal use in calendar year 2016.

# DRAFTING INFORMATION

The principal author of this notice is Kathleen Edmondson of the Office of the Division Counsel/Associate Chief Counsel (Tax Exempt & Government Entities). For further information on this notice contact Ms. Edmondson on (202) 317-6798 (not a toll-free number).