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1 day ago · Fuel benefit tax is based on a flat annual rate that’s £27,800 in the 2024-25 financial year. The percentage of that figure that you have to pay in tax is tied to your company car’s BIK tax band and your income tax band. So, if your car is in the 29% BIK band, you have to pay fuel benefit tax on 29% of £27,800, which is £8,062.
21 hours ago · A car salary sacrifice scheme works similarly to cycle-to-work schemes. In the scheme, employees sacrifice some of their salary for a leased car. The amount comes before Income Tax and National Insurance, so the employee and company save on the contributions paid. The set amount includes payments on car insurance, road tax, breakdown cover, MOT ...
2 days ago · The appropriate percentages for company cars for the tax year 2025 to 2026 through to the tax year 2027 to 2028 were announced at Autumn Statement 2022 and legislated for in Finance Act 2023.
4 days ago · The provision of a company car might allow that employee to avoid the extra uncertainty and costs that come associated with car ownership. Company cars might be tax-efficient. The Benefit In Kind tax paid by employers, in much the same way as road tax, is linked to the emissions generated by the car. Therefore, the greener the fleet, the more ...
2 days ago · Under company car tax, fully electric vehicles qualify for a low Benefit-in-Kind rate of 2% in the current tax year, rising to 3% in 2025/6, 4% in 2026/27 and 5% in 2027/28. The Chancellor has now revealed a 2 percentage point rise for 2028/29 and 2029/30, increasing BiK to 7% and 9%. But rates for plug-in hybrid vehicles will rise and will now ...
1 day ago · Company car tax has incentivised low-CO2 vehicles since 2002. The benefit of having a car for personal use has what’s called a taxable value – a percentage of the car’s list price, weighted ...
4 days ago · Everything you need to know about the Best Company Car in the Parkers New Car Awards. The BMW i4 is tax effective and great to drive.
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