Company Car Drivers and BIK

Company Car Tax - What You Need To Know

A key element to consider when choosing a company car is the amount of tax it'll incur. You will pay tax on a percentage of the P11D value of the car. The benefit in kind (BIK) rate is worked out by the amount of CO2 emissions the car produces. The lower the emissions, the lower the percentage.

How do I calculate my BIK tax?

To calculate the company car - or BIK - tax, multiply the P11D value by the BIK percentage banding, then multiply that figure by your tax band - i.e. 20% or 40%. This will give you your annual tax. Divide by 12 to get your monthly outgoing.

P11D Price x BIK Rate x Personal Tax Band = Annual tax you will need to pay. HMRC will advise you how this deduction will be made.

P11D Price List

Why MGMakes Sense

Choose MGfor your company car and you'll enjoy high levels of specification, impressive fuel efficiency and emission reducing technologies. Not only does our range have something for everyone, but will also have flexible finance options that will work for you, whether you are self-financing or funded by your company.

At Read MGwe can get you on the road in just 4 simple steps:

Select the model you are interested in
Work with us to agree simple terms for your contract
Pick up the keys and drive away

What are the Benefits of Choosing MG?

Driving an MGfor your business not only gives you access to our full range of award-winning vehicles, but you'll also enjoy benefits including:

Flexible finance solutions
Time saving tools to help with your finance calculations
Lower lifetime running costs
Access to our dedicated in-house business team
A no-fuss process from the start to the finish line

Why C02 Makes A Difference

The greener your car, the lower the CO2 emissions meaning you'll pay less tax.

Complaints Procedure:

Regulated Complaints Post: Ingeni Services Group Limited, 11 Atlas Works, Foundry Ln, Earls Colne, Colchester CO6 2TE Telephone: 01787 221 909, E-mail: info@ingeni.co.uk. If we cannot resolve your complaint within 8 weeks, you may refer your dispute to the Financial Ombudsman Service. This service is free to use. Their consumer helpline is available on 0800 023 4567 or 0300 123 9123 or you can visit their website at www.financial-ombudsman.org.uk.

© 2024 Read Motor Group. All Rights Reserved

Blossom Avenue, Humberston, United Kingdom, DN36 4TQ

Reg Office: Altyre Way Humberston, Grimsby United Kingdom DN36 4RJ

Reg. Company Number: 07110298

VAT Reg. No. 613 7400 70

Financial disclosure

Read Derby Limited, Read Automotive Grimsby Limited, Read Hyundai Boston Limited, Read Hyundai Doncaster Ltd, Read Hyundai Kings Lynn Limited, Read Hyundai Limited, Read Hyundai Lincoln Limited, Read Hyundai Worksop Limited is an Appointed Representative of Ingeni Services Group Limited, who is authorised and regulated by the Financial Conduct Authority (FCA number is 747381).

Ingeni Services Group Limited permissions as a Principal Firm allows Read Automotive Grimsby Limited, Read Hyundai Boston Limited, Read Hyundai Doncaster Ltd, Read Hyundai Kings Lynn Limited, Read Hyundai Limited, Read Hyundai Lincoln Limited, Read Hyundai Worksop Limited to act as a credit broker, not as a lender, for the introduction to a limited number of lenders.

We are a credit broker and not a lender. We can introduce you to a limited number of lenders and their finance products. We are not an independent financial advisor, and we act on their behalf for this introduction. We may advise you on the products, subject to your personal circumstances, though you are not obliged to take our advice or recommendation. We do not charge you a fee for our services. Whichever lender we introduce you to, we will typically receive commission from them (either a fixed fee or a fixed percentage of the amount you borrow). For your reassurance, all of the lenders we work with could pay commission at different rates, but the commission we receive does not influence the interest rate you will pay.

Our aim is to secure finance for you at the lowest interest rate you are eligible for from our panel of lenders. If you ask us what the amount of commission is, we will tell you in good time before the Finance agreement is executed. All finance applications are subject to status, terms and conditions apply, UK residents only, 18s or over. Guarantees may be required.

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Company Car Drivers and BIK

© 2024 Read Motor Group. All Rights Reserved

Financial disclosure

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