How to use our company car tax calculator
Our company car tax calculator makes it simple for you to work out the benefit in kind company car tax payable on your next company car.
This is particularly useful if you have a choice of company cars. The company car tax calculator will help you find the lowest tax option on the company cars that you are considering.
That’s because most business car drivers have to pay company car tax – which is known as a benefit in kind since the majority of business car users also cover private mileage in their cars (such as commuting to work, lifestyle pursuits at the weekend and so on). HMRC considers this a benefit – hence the tax.
It’s worth noting that if your company car stays at work all the time, and there is no private use, then no company car tax is applicable. But this is rare.
So how do you use our company car tax calculator?
- choose the make of car you want from the drop down menu (e.g. Audi)
- then the model (e.g. A3 hatchback)
- and finally the type of fuel (e.g. petrol, diesel, hybrid or electric).
The following screen provides the list of cars in the range, with automatic or manual options, plus the CO2 emissions on which the company car tax band is decided and the P11D price (also important in calculating how much company car tax you will pay).
Choose your model and then let the company car tax calculator do the rest! You can customise the company car tax calculator quotations by adding the extras you want so that you know exactly how much your next car will cost you in company car tax – which is shown as a yearly figure, depending on your marginal rate of tax.