How is my P11d benefit in kind calculated for the fuel used by my car?

If your company pays for all your fuel used by your company car and you do not identify and pay back the personal mileage element, then there is a taxable fuel benefit as well as your car benefit. The car fuel benefit is fixed each year, according to the table below and is calculated by taking the appropriate car benefit percentage, as worked out for car benefit purposes and multiplying by the fixed figure. Since 6 April 2018, there is no taxable benefit when electricity is provided for an electric company car.

Calculation Example

Tax year	Fixed figure (£)
2026–27	29,200
2025–26	28,200

The car fuel benefit is based on a fixed figure for the tax year (£28,200 for 2025/26 and £29,200 for 2026/27), multiplied by the Benefit in Kind (BIK) percentage for your company car.

To find your company car’s BIK percentage, use the CO2 emissions and (where applicable) electric mileage range in the schedule below.

Petrol powered and hybrid powered cars for the tax year 2025 to 2026

CO2 emissions (grams per km)	Electric mileage range	NEDC %	WLTP %
—	—	3	3
1 to 50	130 and above	3	3
1 to 50	70 to 129	6	6
1 to 50	40 to 69	9	9
1 to 50	30 to 39	13	13
1 to 50	Less than 30	15	15
51 to 54	—	16	16
55 to 59	—	17	17
60 to 64	—	18	18
65 to 69	—	19	19
70 to 74	—	20	20
75 to 79	—	21	21
80 to 84	—	22	22
85 to 89	—	23	23
90 to 94	—	24	24
95 to 99	—	25	25
100 to 104	—	26	26
105 to 109	—	27	27
110 to 114	—	28	28
115 to 119	—	29	29
120 to 124	—	30	30
125 to 129	—	31	31
130 to 134	—	32	32
135 to 139	—	33	33
140 to 144	—	34	34
145 to 149	—	35	35
150 to 154	—	36	36
155 to 159	—	37	37
160 to 164	—	37	37
165 to 169	—	37	37
170 and above	—	37	37

Petrol powered and hybrid powered cars for the tax year 2026 to 2027

CO2 emissions (grams per km)	Electric mileage range	NEDC %	WLTP %
—	—	4	4
1 to 50	130 and above	4	4
1 to 50	70 to 129	7	7
1 to 50	40 to 69	10	10
1 to 50	30 to 39	14	14
1 to 50	Less than 30	16	16
51 to 54	—	17	17
55 to 59	—	18	18
60 to 64	—	19	19
65 to 69	—	20	20
70 to 74	—	21	21
75 to 79	—	21	21
80 to 84	—	22	22
85 to 89	—	23	23
90 to 94	—	24	24
95 to 99	—	25	25
100 to 104	—	26	26
105 to 109	—	27	27
110 to 114	—	28	28
115 to 119	—	29	29
120 to 124	—	30	30
125 to 129	—	31	31
130 to 134	—	32	32
135 to 139	—	33	33
140 to 144	—	34	34
145 to 149	—	35	35
150 to 154	—	36	36
155 to 159	—	37	37
160 to 164	—	37	37
165 to 169	—	37	37
170 and above	—	37	37

The exact CO2 figure is always rounded down to the nearest 5 grams per km — except where noted in the table. For example, CO2 emissions of 168 grams per km are treated as 165.

For each tax year add 4% for diesel cars up to a maximum of 37%.

So in this example, for 2025/26 the car fuel benefit is £28,200 x 37% = £10,434 taxable benefit.
Therefore the director will pay personal tax on this amount, if he is higher rate tax payer, this will be £10,434 x 40% = £4,173.60.

Best practice is for the director to ONLY claim his business mileage if he wishes to avoid this taxable benefit.

Refer a Friend

Featured