Chargeable on employees earning £8,500 or over (including benefits) and directors.

Car Benefits 2010 / 11

Minimum
15% of list price (emission levels 130g/km CO2)
Increments
1% for each additional 5g/km CO2 emissions over 130g/km CO2
Diesel cars
3% surcharge unless car meets Euro IV standards (1)
Electric cars
0% of list price
Maximum
35% of list price

(1) Waiver ceases for cars registered on or after 01/01/2006
Visit www.vca.gov.uk to check the car emission levels
CO2 levels are rounded down to the nearest 5g


If no emissions rating available
Reliable emissions data is not widely available - particularly for cars registered before 1 January 1998. For these the following taxable percentages apply, regardless of fuel type:

Engine size:
Registered before 01/01/1998
Registered after 01/01/1998
1,400 cc or less
15%
15%
1,401-2,000 cc
22%
25%
over 2,000 cc
32%
35%


Car Fuel Benefits
If the employee pays for the full cost of all fuel for private journeys (usually including home to work) there will be no car fuel benefit. In all other cases the full tax charge will be due.

Provision of fuel for company cars
(If any private fuel is provided)
.
2010 / 11
2009 / 10
The company car percentage is multiplied by
£18,000
£16,900


VAT on fuel benefits

Amounts treated as additional output tax per quarter

CO2 emissions in grams per km*
From 1 May 2010
From 1 January 2009
From 1 May 2009
120 or below
£21.00
£18.77
£16.43
230 or above
£73.87
£63.74
£55.83
* Rates vary, increasing for each 5 grams per kilometre.


Advisory mileage rates for business mileage in company cars

From 1 December 2009
Engine size:
Petrol
Diesel
LPG
1,400 cc or less
11p
11p
7p
1,401-2,000 cc
14p
11p
8p
over 2,000 cc
20p
14p
12p
Note: HM Revenue & Customs have announced that rates will now be reviewed biannually and generally any changes will take effect on 1 January and 1 July.


Approved mileage rates for business mileage in own car

Car and vans
Per mile
0 - 10,000 miles
40p
Over 10,000 miles
25p
Bicycles
20p
Motorcycles
24p


Company Vans– 2010/11 onwards:

Unrestricted use
£3,000*
Provision of private fuel
£550

* The charge does not apply to certain environmentally friendly vans or if a 'restricted private use condition' is met throughout the year.