Benefits in Kind – Company Cars – New Scale (1st January 2002)
Context
As you know, the private use of a company car by an employee results in a taxable benefit for the individual. Private use includes all use other than pure business use, including use during weekends and holidays. Please note that private use also includes commuting between home and the fixed place of work.
The taxable benefit in kind is determined by Royal Decree on a lump sum basis. It equals the number of kilometres driven for private purposes (with an absolute minimum of 5.000 km per year) multiplied by a coefficient, which represents the amount of benefit per kilometre. This coefficient depends on the fiscal horsepower of the vehicle.
News
The new scale to compute the taxable benefit in kind for the income year 2002 has been recently published (Official Gazette of 19 March 2002). Please find below the new scale classified by fiscal horsepower (FHP) :
4 FHP : EUR 0,1494
5 FHP : EUR 0,1753
6 FHP : EUR 0,1937
7 FHP : EUR 0,2143
8 FHP : EUR 0,2338
9 FHP : EUR 0,2544
10 FHP : EUR 0,2814
11 FHP : EUR 0,3085
12 FHP : EUR 0,3269
13 FHP : EUR 0,3475
14 FHP : EUR 0,3604
15 FHP : EUR 0,3756
16 FHP : EUR 0,3864
17 FHP : EUR 0,3940
18 FHP : EUR 0,4037
19 FHP : EUR 0,4113
more than 19 FHP : EUR 0,4113
Posted: March 25th, 2002