Car/fuel benefit

Car/fuel benefit
- Taxable benefit for cars is based on a maximum 35% of list price, reduced according to the car’s level of CO2 emissions.
- Minimum benefit is 10% of list price where CO2 emissions do not exceed 120 g/km for 2008-09 and 2009-10.
- Benefit is 15% of list price for cars with emissions of 135 g/km or less for 2008-09 and 2009-10 (to be reduced to 130 g/km from 2010-11).
- Minimum will increase by 1% for each 5 g/km of extra CO2 emissions, subject to a maximum of 35% of list price.
- Diesel cars subject to an extra 3% charge (maximum of 35%).
- Where free fuel for private use is provided, tax charge on fuel is calculated according to scale rate charge as above, applied to a standard figure of £16,900 for 2008-09 onwards.
- Further discounts can apply to car and fuel benefit for energy efficient cars.


Approved mileage allowance payments 2009-2010 2008-2009
Own cars and vans
Up to 10,000 miles (per mile) 40p 40p
Over 10,000 miles (per mile) 25p 25p