Calculate your company car tax in seconds, with Lease Electric's Company Car Tax Calculator.
Compare EV Benefit-in-Kind costs using the latest UK rates through 2030. See exactly how much you’ll pay, and how much you could save with electric.
Start your calculation below:
The below calculator is to be used as a guide only.
Use by searching your EV, or entering your vehicle's P11D Value and BiK Percentage manually. To calculate the Benefit-in-Kind for Petrol, Diesel or PHEVs, manually enter the vehicles P11d Value and associated BiK percentage.
Thinking about a company car?
Learn how company car tax works, compare it to salary sacrifice schemes, and understand the full business and personal benefits.
Read the full company car guide
Yes. Company cars are classed by HMRC as a non-cash benefit and are therefore taxable. Employees who receive a company car must pay Company Car Tax, also known as Benefit-in-Kind (BiK).
Yes. Salary Sacrifice Cars are considered Company Cars, therefore they are classed by HMRC as a non-cash benefit and are therefore taxable. Employees who have a Salary Sacrifice car pay Company Car Tax, also known as Benefit-in-Kind (BiK).
Benefit-in-Kind (BiK) is the taxable value assigned to a non-cash benefit provided to an employee. This can include a company car, private medical insurance, or a fuel card.
As these benefits are not paid as direct salary, HMRC applies specific calculations to determine how much tax is payable.
Electric company cars benefit from some of the lowest BIK rates available in the UK, meaning significantly lower tax compared to petrol or diesel vehicles.
Use the calculator above to see your exact monthly and annual company car tax based on your salary and vehicle value.
The amount of company car tax you pay depends on the vehicle’s CO₂ emissions, P11D value, and your personal tax rate.
BiK rates are set by the Government and can change each tax year. The amount you pay will also change if you move into a different income tax band.
For example, if you receive a company car as a 20% taxpayer and later move into the 40% tax bracket, the tax payable on your Benefit-in-Kind will increase accordingly.
Company Car Tax, also known as Benefit-in-Kind (BiK), is calculated using the following formula:
P11D Value × Benefit-in-Kind % × Your Income Tax Rate = Annual BiK
Annual BiK ÷ 12 = Monthly BiK
The P11D value is the list price of the vehicle (including options and VAT). The BiK percentage is determined by the vehicle’s CO₂ emissions (EVs benefit from significantly lower rates), and your tax rate will depend on whether you are a 20%, 40% or 45% taxpayer. To find your vehicle’s appropriate BiK percentage, use our BiK table.
Unlike Vehicle Excise Duty (previously known as road tax) on a personal vehicle, Company Car Tax (BiK) is collected through PAYE.
When you receive a company car, your employer reports the benefit to HMRC. HMRC then adjusts your tax code to reflect the value of the benefit, and the tax is automatically deducted from your salary each month.
We always advise employees to also notify HMRC when they receive a company car, including the make, model and P11D value, to avoid delays or unexpected backdated tax adjustments.
While this calculator focuses on electric vehicles, it’s important to understand how they compare.
Petrol and diesel company cars typically fall into much higher BIK tax bands due to higher emissions, resulting in significantly higher tax costs.
Read our guides to compare EV, petrol and salary sacrifice options
BIK rates for electric cars are set to gradually increase over time, but remain far lower than other fuel types.
This calculator includes the latest HMRC rates, helping you plan your tax costs for future years.
Use our benefit-in-kind table to find out more:
