Vehicle benefits 2013/14

Chargeable on employees earning £8,500 or over (including benefits), and directors.

• Check out our Fuel cost calculator
• Car benefit
• Car fuel benefits
• Company vans

The fuel benefit charge multiplier (FBC) for 2013/14 is £21,100 (2012/13 - £20,200).

Car benefit

The tax you pay on your company car is governed by five factors:

• The list price of the car, on the day before it was first registered, plus certain accessories,
• The rate at which the car emits carbon dioxide (CO₂),
• The fuel type (for most types of car, this is all the information you need to work out the taxable benefit)
• Your highest rate of income tax
• Any capital contribution to the cost of the car up to a maximum of £5,000

You can find your taxable percentage using the following table:

2013/14 company car taxable benefits table

CO2 emissions (g/km)*	Petrol	Diesel
1 to 75	5%	8%
76 to 94	10%	13%
95 to 99	11%	14%
100 to 104	12%	15%
105 to 109	13%	16%
110 to 114	14%	17%
115 to 119	15%	18%
120 to 124	16%	19%
125 to 129	17%	20%
130 to 134	18%	21%
135 to 139	19%	22%
140 to 144	20%	23%
145 to 149	21%	24%
150 to 154	22%	25%
155 to 159	23%	26%
160 to 164	24%	27%
165 to 169	25%	28%
170 to 174	26%	29%
175 to 179	27%	30%
180 to 184	28%	31%
185 to 189	29%	32%
190 to 194	30%	33%
195 to 199	31%	34%
200 to 204	32%	35%
205 to 209	33%	35%
210 to 214	34%	35%
215 and over	35%	35%

*The exact CO₂ figure is rounded down to the nearest 5g/km.

Cars that cannot emit CO₂ by being driven have a benefit of 0%.

How to find out how much CO₂ your company car emits – see:

• The car’s V5 registration document
• Your dealer
• The data pages of car magazines (current models)
• The Vehicle Certification Agency – www.vca.gov.uk
• The website of the Society of Motor Manufacturers and Traders - www.smmt.co.uk/co2/co2search.cfm

Reliable emissions data is not widely available for cars registered before 1 January 1998. For them, the following taxable percentages apply, regardless of fuel type:

Engine capacity	Taxable %
Up to 1400cc	15%
1401 - 2000cc	22%
Over 2000cc	32%

Car fuel benefits

If the employee pays for the full cost of all fuel for private journeys (usually including home to work) there will be no car fuel benefit. In all other cases the full tax charge will be due.

The taxable car fuel benefit, for 2013/14, is calculated by multiplying £21,100 by the same percentage as applies (or would apply) for the car benefit.

Example: A company car driver has a car which, on the day before it was first registered, had a list price of £28,000. It runs on petrol, and emits 175g/km of CO₂.

If we assume the driver pays tax at 40%, the annual tax bill on the car is: £28,000 x 27% x 40% = £3,024.

If the employer provides any fuel used for private journeys and is not re-imbursed for the cost, the 2013/14 tax bill for the fuel is: £28,000 x 27% x 40% = £2,278.80.

Company vans

The taxable benefit for the unrestricted use of company vans is £3,000 (with no reduction for older vans) plus a further £564 of taxable benefit if fuel is provided by the employer for private travel.

The tax payable for a basic rate (20%) payer is £712.80, a 40% payer is £1,425.60 and someone paying 45% tax and using a company van would be £1,603.80.

The company's Class 1A NIC payable is £491.830.