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Do I need to pay company car tax?

Frequently Asked Questions

Do I need to pay company car tax?

If the Short Term Lease vehicle is going through your company, you maybe liable for Company Car Tax or Benefit in Kind (BIK). The rate of tax is dependant on the vehicles cost and CO2 levels, so the rate of BIK is determined as a different percentage.

The more economical the car, the cheaper it is on the Benefit in Kind tax. The lower the cost of the car, the lower the P11d is of the car.

You can find out how much taxt you will pay by using the UK Government Company Car Tax calculator, we have put a link to this in our About Us menu.

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