Future Company Car Tax Rates
Company Car Tax rates have traditionally been announced around two years in advance, to give certainty over costs to industry (and to software suppliers). Finance Bill 2012 therefore legislated the rates for 2014-15, but the government has also announced proposed changes for 2015-16 and 2016-17. In future years company car tax rates will be announced three years in advance.
The chart below shows the rates right through from the current year to April 2019. The following notes may help to explain some of the movements.
2016-17
The appropriate percentages will increase by 2 percentage points to a maximum of 37%.
New European standards which came into force in September 2015 required diesel cars to have the same air quality emissions as petrol cars. The three percentage point differential between diesel cars and petrol cars was set to be removed in April 2016. However, it will now be retained until April 2021, when EU-wide testing procedures will ensure new diesel cars meet air quality standards even under strict real world driving conditions.
2017-18 and 2018-19
The appropriate percentage will increase by 2% for cars emitting more than 75g/km to a maximum of 37% in each of the years 2017-18 and 2018-19.
| Company Car Tax | ||||||
| Tax year | 2016-17 | 2017-18 | 2018-19 | |||
| CO2 emissions g/km | Appropriate % of car list price taxed | Appropriate % of car list price taxed | Appropriate % of car list price taxed | |||
| Petrol | Diesel | Petrol | Diesel | Petrol | Diesel | |
| 0 - 50 | 7 | 10 | 9 | 12 | 11 | 14 |
| 51 - 75 | 11 | 14 | 13 | 16 | 15 | 18 |
| 76 - 94 | 15 | 18 | 17 | 20 | 19 | 22 |
| 95 - 99 | 16 | 19 | 18 | 21 | 20 | 23 |
| 100 - 104 | 17 | 20 | 19 | 22 | 21 | 24 |
| 105 – 109 | 18 | 21 | 20 | 23 | 22 | 25 |
| 110 – 114 | 19 | 22 | 21 | 24 | 23 | 26 |
| 115 – 119 | 20 | 23 | 22 | 25 | 24 | 27 |
| 120 – 124 | 21 | 24 | 23 | 26 | 25 | 28 |
| 125 – 129 | 22 | 25 | 24 | 27 | 26 | 29 |
| 130 – 134 | 23 | 26 | 25 | 28 | 27 | 30 |
| 135 – 139 | 24 | 27 | 26 | 29 | 28 | 31 |
| 140 – 144 | 25 | 28 | 27 | 30 | 29 | 32 |
| 145 – 149 | 26 | 29 | 28 | 31 | 30 | 33 |
| 150 – 154 | 27 | 30 | 29 | 32 | 31 | 34 |
| 155 – 159 | 28 | 31 | 30 | 33 | 32 | 35 |
| 160 – 164 | 29 | 32 | 31 | 34 | 33 | 36 |
| 165 – 169 | 30 | 33 | 32 | 35 | 34 | 37 |
| 170 – 174 | 31 | 34 | 33 | 36 | 35 | |
| 175 – 179 | 32 | 35 | 34 | 37 | 36 | |
| 180 – 184 | 33 | 36 | 35 | 37 | ||
| 185 – 189 | 34 | 37 | 36 | |||
| 190 – 194 | 35 | 37 | ||||
| 195 – 199 | 36 | |||||
| 200 and above | 37 | |||||