Company car tax

If you have a company car, you’ll have to pay tax on it called Benefit-In-Kind (BIK). The amount of tax you’ll pay depends on your earnings, the cost of the car and the amount of CO2 the car produces.

Considerations

So how does this all work?

From April 2002 a graduated system of tax was introduced that uses a vehicles CO2 emissions to determine the amount of company car tax an individual pays on a company supplied vehicle. A vehicle's CO2 emission level determines the percentage of the vehicle’s P11D value (List Price) that can be taxed. This means that vehicles with lower CO2 emissions will incur a lower tax liability. This is only applicable to passenger cars, Light Commercial Vehicles (LCV’s) work on a different calculation using a fixed value of £3,490 multiplied by the individuals tax rate.

Monthly £ amount paid by end user (2020-2021 tax year)***

ASX

ASX
P11D Value WLTP CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%  
Dynamic Manual 2WD £20,110.00 171 37% £124.01 £248.02  
Exceed Manual 2WD £22,970.00 171 37% £141.65 £283.30  
Exceed CVT 4WD £25,880.00 185 37% £159.59 £319.19  

Outlander PHEV

Outlander PHEV P11D Value WLTP CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%
Verve Petrol Hybrid Auto 4WD £35,760.00 46 12% £71.52 £143.04
Design Petrol Hybrid Auto 4WD £36,770.00 46 12% £73.54 £147.08
Dynamic Petrol Hybrid Auto 4WD £38,890.00 46 12% £77.78 £155.56
Dynamic Safety Petrol Hybrid Auto 4WD £41,410.00 46 12% £82.82 £165.64
Exceed Petrol Hybrid Auto 4WD £41,650.00 46 12% £83.30 £166.60
Exceed Safety Petrol Hybrid Auto 4WD £44,170.00 46 12% £88.34 £176.68

 

Outlander PHEV Commercial
P11D Value NEDC CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%
Reflex Commercial Petrol Hybrid Auto 4WD £38,576.84 40 £3,490.00 £58.16 £116.33
Reflex Plus Commercial Petrol Hybrid Auto 4WD £39,816.00
40 £3,490.00 £58.16 £116.33

Eclipse Cross

Eclipse Cross P11D Value WlTP CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%
Verve Petrol Manual 2WD £21,950.00 170 37% £135.36 £270.72
Design SE Manual 2WD £22,200.00 177 37% £136.90 £273.80
Design SE Auto 2WD £23,565.00 185 37% £145.32 £290.64
Dynamic Petrol Manual 2WD £23,555.00 177 37% £145.26 £290.51
Dynamic Petrol Auto 2WD £24,885.00 185 37% £153.46 £306.92
Dynamic Petrol Auto 4WD £26,465.00 196 37% £163.20 £326.40
Exceed Petrol Manual 2WD £26,130.00 177 37% £161.14 £322.27
Exceed Petrol Auto 4WD £29,190.00 175 37% £180.01 £360.01

L200

L200 P11D Value NEDC CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%
Club Cab 4Life Diesel Manual 4WD £25,704.00 198 £3,490.00 £58.16 £116.33
Double Cab 4Life Diesel Manual 4WD £27,150.00 198 £3,490.00 £58.16 £116.33
Trojan Double Cab Diesel Manual 4WD £29,260.80 199 £3,490.00 £58.16 £116.33
Trojan Double Cab Diesel Auto 4WD £30,964.80 206 £3,490.00 £58.16 £116.33
Double Cab Warrior Diesel Manual 4WD £31,626.00 200 £3,490.00 £58.16 £116.33
Double Cab Warrior Diesel Manual 4WD (Leather) £33,072.00 200 £3,490.00 £58.16 £116.33
Double Cab Warrior Diesel Auto 4WD
£33,330.00 206 £3,490.00 £58.16 £116.33
Double Cab Warrior Diesel Auto 4WD (Leather) £34,776.00 206 £3,490.00 £58.16 £116.33
Barbarian Double Cab Diesel Manual 4WD (Leather) £35,136.00 200 £3,490.00 £58.16 £116.33
Barbarian Double Cab Diesel Auto 4WD (Leather) £36,840.00 206 £3,490.00 £58.16 £116.33
Double Cab Barbarian X Diesel Auto 4WD (Leather) £38,652.00 206 £3,490.00 £58.16 £116.33

Shogun Sport

Shogun Sport P11D Value NEDC CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%
3 Diesel Auto 4WD £35,650.00 227 37% £219.84 £439.68
4 Diesel Auto 4WD £37,650.00 227 37% £232.18 £464.35

 

Shogun Sport Commercial P11D Value NEDC CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%
Commercial Diesel Auto 4WD £38,638.80 227 £3,490.00 £58.16 £116.33

Outlander Petrol

Outlander
P11D Value WLTP CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%  
Design Petrol Auto 4WD £28,050.00 196 37% £172.98 £345.95  
Exceed Petrol Auto 4WD £29,800.00 196 37% £187.47 £374.93  

Mirage

Mirage
P11D Value WLTP CO2 BIK % Monthly BIK Payable 20% Monthly BIK Payable 40%  
Verve Petrol Manual £10,345.00 105 24% £41.38 £82.76  
Design Pro Petrol Manual £12,290.00 108 24% £49.16 £98.32  
Design Pro Petrol Auto £13,340.00 106 24% £52.36 £106.72  

How does Company Car Tax work?

For passenger cars Company Car tax (or BIK tax) is calculated using the CO2 emissions figure each vehicle outputs. Your vehicles emission figure will fall into a BIK band which is associated with a percentage. This percentage is applied to the P11D value (list price) of your vehicle, giving you a maximum taxable amount. Your individual tax rate is then applied to the maximum taxable amount to give you the BIK tax you pay on your vehicle per year.

Visit Gov.uk for more information on Company Car Tax bands.

For Diesel vehicles that do not qualify for the new RDE2 certification, an additional 4% is added to the BIK % up to 37%

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