Company Car BiK Tax Calculator 2026 | Electric vs Hybrid Rates | NationRules
Home/Uk/Company Car Bik Tax Electric Vs Hybrid Calculator 2026
HMRC BiK Rates 20263% EV RateP11D Calculator

Company Car BiK Tax Calculator 2026

Calculate monthly Benefit-in-Kind (BiK) company car tax comparing Pure Electric (3% BiK), Plug-in Hybrid (5% BiK), and Petrol vehicles.

Company Car Tax Estimator

Compute monthly PAYE tax deduction based on P11D list price and fuel type

£

BiK Company Car Tax Result:

BiK Percentage Rate
3%
HMRC BiK Band
Monthly Tax Deduction
£45/mo
Net Take-Home Reduction
Annual Tax Total
£540/yr
P11D Value Tax

HMRC BiK Rate Comparison Table (2025/2026)

BiK tax rates are determined by official CO2 emissions and electric-only driving range.

Vehicle Fuel TypeCO2 Emissions (g/km)2025/2026 BiK %Annual Tax (£45k P11D @ 40%)
Pure Electric (BEV)0 g/km3% BiK£540 / year (£45/mo)
Plug-in Hybrid (130+ miles)1 - 50 g/km5% BiK£900 / year (£75/mo)
Plug-in Hybrid (40 - 69 miles)1 - 50 g/km8% BiK£1,440 / year (£120/mo)
Standard Petrol / Diesel170+ g/km37% Max BiK£6,660 / year (£555/mo)

EV Salary Sacrifice & Charging Benefits

Tax-Free Workplace Charging

Employers can provide free EV charging at work premises completely tax-free without triggering additional BiK tax.

Salary Sacrifice Savings

Leasing an EV via salary sacrifice saves Income Tax and National Insurance on the monthly car payments.

Frequently Asked Questions (FAQs)

Pure electric vehicles (BEVs) have a 3% Benefit-in-Kind (BiK) tax rate in the 2025/2026 tax year, making them significantly cheaper to drive as company cars compared to petrol/diesel vehicles (up to 37% BiK).

Company Car Tax is calculated as: Vehicle P11D List Price x BiK Percentage Rate x Your Income Tax Rate Band (20% or 40%).

Yes. Charging a company electric vehicle or personal EV at an employer's workplace charging point is exempt from Benefit-in-Kind tax.

Plug-in hybrids (PHEVs) with zero-emission electric range over 130 miles have a 5% BiK tax rate. Hybrids with lower electric ranges attract higher BiK rates (between 8% and 14%).

The P11D value is the official manufacturer list price of the car including delivery and factory-fitted options, plus VAT, but excluding first-year DVLA registration fees and road tax.