Company Car Today Toolbox

Benefit in kind (BIK)

Benefit-in-kind (BIK) - this is any benefit which employees receive from employment but are not included in a salary. The obvious example in our case is company cars, which are taxed according to the income of the employee.

Company car benefit-in-kind rates for the next four tax years, based on vehicle P11D price.

CO2 (g/km) emissions2019/20
2020/212021/222022/23
Zero 16%0%1%2%
1-50 (EV range 130+ miles)16%2%2%2%
1-50 (EV 70-129 miles)16%5%5%5%
1-50 (EV 40-69 miles)16%8%8%8%
1-50 (EV 30-39 miles)16%12%12%12%
1-50 (EV sub-30 miles)16%14%14%14%
51-5419%15%15%15%
55-5919%16%16%16%
60-6419%17%17%17%
65-6919%18%18%18%
70-7519%19%19%19%
76-7922%20%20%20%
80-8422%21%21%21%
85-8922%22%22%22%
90-9422%23%23%23%
95-99 23%24%24%24%
100-104 24%25%25%25%
105-109 25%26%26%26%
110-114 26%27%27%27%
115-119 27%28%28%28%
120-124 28%29%29%29%
125-129 29%30%30%30%
130-134 30%31%31%31%
135-139 31%32%32%32%
140-144 32%33%33%33%
145-149 33%34%34%34%
150-154 3435%35%35%
155-159 35%36%36%36%
160-164 36%37%37%37%
165-169 37%37%37%37%
170 & above35%37%37%37%

 

Add 4% penalty for diesels up to 37% max, if not meeting RDE2 emissions standard

N.B. Cars registered from 6 April 2020 will get a two-band reduction in 2020/21 and a one-band reduction in 2021/22 to compensate for increased CO2 figures as a result of the new WLTP emissions test regime.