Over recent years the importance of CO2 emissions has risen dramatically and the need to lower CO2 emissions has been a priority, not only to help reduce carbon emissions for the environment but also to lower company car tax.
Since the CO2 car emissions tax based system was introduced in 2002, fleets have found benefit in kind tax bands tightening, new VED levels being introduced and tax free incentives for electric vehicles being launched.
Significant savings for fleets can be made by opting for a fleet vehicle with low CO2 emissions.
As of April 2010, the lower benchmark in the main bands for BIK tax has fallen again by 5g/km to 130g/km, although vehicles with CO2 emissions up to 120g/km still gain an advantage of at least five per-centage points.
Petrol cars with CO2 emissions at 230g/km or higher and diesel cars with CO2 emissions of 215g/km or more now incur tax at the highest 35% rate.
Co2 car emissions therefore need to be a priority when companies are looking to change their fleet vehicles.
CO2 emissions Calculator
The Fleet News co2 emissions calculator enables companies to search on a variety of different makes and models of vehicles to compare co2 emissions and tax bands that they fall within. Have a look at the co2 emissions calculator today.