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Company Car Benefit in Kind

Calculate the taxable benefit-in-kind on a company car from its CO2 emissions and list price, the tax the employee pays, and the employer's Class 1A NIC (2025/26).

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Datos verificados · julio de 2026

Does a discount on the car's price reduce the benefit?

No — the taxable benefit uses the manufacturer's list price, not the discounted price the employer actually paid.

Fuente: HMRC — Expenses and benefits: company cars (gov.uk/expenses-and-benefits-company-cars); Company car and car fuel benefit tables 2025/26. · actualizado 2026

£
g/km
miles
%
£

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Todo sobre Company Car Benefit in Kind

📋Presentación+

The taxable benefit is the car's list price (after deducting any capital contribution, up to £5,000) multiplied by an 'appropriate percentage' set by CO2 emissions — as low as 3% for pure electric cars, rising with emissions and reduced electric-only range for plug-in hybrids, up to a diesel-surcharged maximum. The employee pays income tax on the benefit at their marginal rate; the employer pays Class 1A NIC (15% for 2025/26) on the same value.

💡 Buenas prácticas

  • Fully electric company cars are taxed at just 2-3% of list price — currently the most tax-efficient company car choice.
  • Plug-in hybrids get a lower percentage the further their electric-only range, so check the manufacturer's WLTP figure.
  • The diesel supplement adds 4 percentage points unless the car meets the RDE2 emissions standard.

🔢 Ejemplo concreto

£40,000 electric car (0 g/km CO2): appropriate percentage 3%, taxable benefit £1,200, income tax of £480 at 40%, and employer Class 1A NIC of £180.

📖Guía de uso+

Cómo usar esta calculadora

  1. 1

    Enter the car's list price when new (including most factory options).

  2. 2

    Enter CO2 emissions in g/km, and electric-only range for plug-in hybrids.

  3. 3

    Confirm whether the car is diesel (RDE2-compliant diesels avoid the surcharge) or fully electric.

  4. 4

    Enter your marginal income tax rate and any capital contribution you made toward the car.

📚Glosario+
Appropriate percentage
The CO2-based percentage of list price treated as taxable benefit — from 3% for zero-emission cars up to 37% for the highest emitters (diesel surcharge included).
Capital contribution
A one-off payment by the employee toward the car's purchase price, capped at £5,000, which reduces the list price used to calculate the benefit.
ℹ️Fuentes y actualizaciones+
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Última actualización de datos

7 de julio de 2026

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Fuentes y referencias

HMRC — Expenses and benefits: company cars (gov.uk/expenses-and-benefits-company-cars); Company car and car fuel benefit tables 2025/26.

Los datos de esta calculadora se actualizan periódicamente para reflejar los últimos baremos oficiales. En caso de duda, consulte las fuentes oficiales mencionadas arriba.

FAQ — Company Car Benefit in Kind

Does a discount on the car's price reduce the benefit?+

No — the taxable benefit uses the manufacturer's list price, not the discounted price the employer actually paid.

What is Class 1A NIC and who pays it?+

Class 1A NIC is an employer-only National Insurance charge on benefits-in-kind, paid annually and reported on the P11D(b), separate from the employee's income tax on the benefit.

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