Car Benefits 2020/21

  • The car benefit is calculated by multiplying the car’s list price, when new, by a percentage linked to the car’s CO2 emissions. Due to a change in the way CO2 emissions are measured different benefit percentages apply to cars registered from 6 April 2020.
  • For diesel cars generally add a 4% supplement (unless the car is registered on or after 1 September 2017 and meets the Euro 6d emissions standard). The overall maximum percentage is capped at 37%.
  • The list price includes accessories.
  • The list price is reduced for capital contributions made by the employee up to £5,000.
  • Special rules may apply to cars provided for disabled employees.
  • For cars registered before 1 January 1998 and cars with no agreed CO2 emissions the charge is based on engine size.

2020/21

Cars registered pre 6/4/20

Cars registered after 5/4/20

CO emissions

(g/km)

% of list price taxed % of list price taxed
0 0 0
1–50

Electric range >130

70-129

40-69

30-39

<30

2

5

8

12

14

0

3

6

10

12

51–54 15 13
55-59 16 14
60-64 17 15
65-69 18 16
70-74 19 17
75-79 20 18
80-84 21 19
85-89 22 20
90-94 23 21
95-99 24 22
100-104 25 23
105-109 26 24
110-114 27 25
115-119 28 26
120-124 29 27
125-129 30 28
130-134 31 29
135-139 32 30
140-144 33 31
145-149 34 32
150-154 35 33
155-159 36 34
160-164 37 35
165-169 37 36
170 and above 37 37