Company Car Tax

[daginge]

Can anyone explain how having a company car affects my tax and how much extra I would physically pay per month on the following vehicles.

VW Jetta 1.6 Diesel co2 109g/km BIK £2,258 Tax @ 20% £518

Volvo S40 1.6 Diesel co2 99g/km BIK £2,690 Tax £538

Skoda Octavia GL 2 1.6 Diesel co2 99g/km BIK £2,490 Tax £498

As usual all assistance gratefully recieved.
TIA

[factor-fiction]

You have already worked it out as an annual figure, so just divide by 12

[factor-fiction]

Where have you got your BIK figures from? They seem low to me

[daginge]

I put the expected car cost into the BIK calculator on HMRC calculator and this is roughly what it came up with!

[factor-fiction]

The CO2 figures look low to me. Have you looked at the rates for 2012/2013?
Will the BIK push your income into the 40% tax band?

[daginge]

Hell no! I aint a 40%er LOL. The co2 figures are from manufacturer's web sites. The only cars we provide as a company are low co2 models anyway!

[factor-fiction]

Okay. I couldn't see any diesel Volvos with a CO₂ figure of 99g/km on the HMRC site.
If your figures are right, then as you have worked out the annual tax amount then you simply divide it by 12 to find the monthly amount- or have I misunderstood the question?
I understood the tax system was changing for 2012/13 and that a higher rated D category would apply to diesel cars. You may want to check that.
Also, if you receive free fuel for your own use you a higher BIK tax charge applies. On the other hand if you have to pay anything out of net pay (eg a private mileage charge) you can offset that against the BIK figure

[daginge]

No that's what I meant Factor, however I now think that there has been a mistake in calculating my current tax; because the HMRC website seems to indicate a lower taxable figure for my current car. Do you think this may mean I have been overpaying the Tax Man ;-)

[daginge]

Yes, probably about 25k per year now, used to be about 35k though!