Drivers of company cars have the advantage that they can use these company cars privately as well as for work. Employers charge their employees for this advantage, at a rate based on the car’s catalogue price. At least 25 percent of this catalogue price is added to the driver’s taxable income. A reduced rate may be applied for certain environment-friendly cars: 14 percent (since 1 January 2008) or 20 percent (since 1 January 2009).
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