For employees with a company car, the tax system is based on a percentage of the car's list price graduated according to its CO2 emissions.
The benefit-in-kind tax rates are as follows:
- 5% for cars emitting between 0-50g/km
- 9% for cars emitting between 51-75g/km
- 13% for cars emitting between 76-94g/km
For every additional full 5g/km, the charge increases in 1% steps with an overriding maximum charge of 37% of the car's list price.
note: percentages change on 1 April every year
Vehicles with diesel engines are subject to a 3% supplement compared to their corresponding petrol counterparts. This is also capped at 37%. Cars without an approved figure for CO2 emissions are taxed according to their engine size (in cubic centimetres).