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FAQ topic
The Government has set very low rates of Benefit-in-kind (BIK) tax on pure 100% electric cars as an incentive to transition away from petrol and diesel powered cars and into zero tailpipe emissions cars.
The BIK is the tax you pay per month for using the benefit (i.e. the electric car). To view current BIK rates for EVs refer to the "UK Company car tax rules 2022/28" table above this section of this page.
BIK is favorable compared to hybrid, petrol and diesel cars as the company car tax rates on EVs are set to increase from April 2025 by only 1% pa for 3 years, offering long-term certainty to employers, employees and the fleet industry.
The Government has set very low rates of Benefit-in-kind (BIK) tax on pure 100% electric cars as an incentive to transition away from petrol and diesel powered cars and into zero tailpipe emissions cars.
The BIK is the tax you pay per month for using the benefit (i.e. the electric car). To view current BIK rates for EVs refer to the "UK Company car tax rules 2022/28" table above this section of this page.
BIK is favorable compared to hybrid, petrol and diesel cars as the company car tax rates on EVs are set to increase from April 2025 by only 1% pa for 3 years, offering long-term certainty to employers, employees and the fleet industry.
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