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Watch the hidden company car tax rises on electric cars (and the tax drop in diesels)

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Renault Zoe electric car company car tax

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28 August 2013

Renault Zoe electric car company car tax
Renault Zoe: faces electric car company car tax hike in 2015/15 based on the P11D value. And the P11D value of this car is over £27k!

I WAS highly intrigued by David Wilkins’ car review of the Renault Zoe.

You can read it here: Renault Zoe car review – electric motoring for the price of a Clio.

In other words, you have the choice: traditional Clio with petrol or diesel; or new all-electric Zoe.

Quite tempting I reckon.

However, for company car drivers, it’s not quite that simple.

Because electric car company car tax – like any other car – is paid on the P11D value of the car.

In the case of the Renault Zoe, the P11D includes the cost of the car (without any government grant) plus the cost of the batteries, which have to be leased at £70 a month.

So instead of being £13,650, the P11D is actually more than double that – £27,380 for our Renault Zoe Dynamique Intens car review model.

Now you might think this doesn’t matter as a company car driver: electric car company car tax is currently rated at a 0% company car tax liability.

True.

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Ralph Morton

Ralph Morton

Ralph Morton is an award-winning journalist and the founder of Business Car Manager (now renamed Business Motoring). Ralph writes extensively about the car and van leasing industry as well as wider fleet and company car issues. A former editor of What Car?, Ralph is a vastly experienced writer and editor and has been writing about the automotive sector for over 35 years.

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