The lower benefit in kind taxation applicable to ultra low emission vehicles is causing a shift in choice within the company car market, bringing with it significant tax savings to the company car driver.

BIK Taxation

The tables below show the tax savings which can be made by choosing a plugin electric hybrid vehicle (PHEV) rather than the equivalent petrol or diesel model. For a 40% tax payer the saving is £3710 PA in tax year 2019/20.

BMW 5 Series 530e 4dr M Sport Auto

Tax Year 2018/19 2019/20
P11d £ 49055 49055
C02 g/km 49 49
% BIK 13 16
£ BIK 6377 7848
Tax 20% 1275 1570
Tax 40% 2550 3139

BMW 5 Series 530i 4dr M Sport Auto

Tax Year 2018/19 2019/20
P11d £ 44940 44940
C02 g/km 135 135
% BIK 28 31
£ BIK 12583 13931
Tax 20% 2517 2786
Tax 40% 5033 5572

BMW 5 Series 530d 4dr M Sport Auto

Tax Year 2018/19 2019/20
P11d £ 48925 48925
C02 g/km 138 138
% BIK 32 35
£ BIK 15656 17123
Tax 20% 3131 3425
Tax 40% 6262 6849