Complete guide to benefit-in-kind value for electric cars in 2025. How the tax is calculated, which rules apply and which electric cars are the most tax-efficient.
From 2025 the following rules apply to benefit-in-kind value for electric cars:
The total benefit-in-kind cost depends on your marginal tax rate. Expect approximately 30–55% tax on the benefit-in-kind value.
| Model | List price | Benefit-in-kind/month approx.* | Tax 32% | Tax 52% |
|---|---|---|---|---|
| Kia EV3 Air | 329 900 kr | 3 200 kr | 1 024 kr | 1 664 kr |
| Kia EV5 Standard | 434 900 kr | 3 900 kr | 1 248 kr | 2 028 kr |
| Tesla Model 3 | 419 900 kr | 3 800 kr | 1 216 kr | 1 976 kr |
| Kia EV6 Long Range | 524 900 kr | 4 500 kr | 1 440 kr | 2 340 kr |
| Volvo EX30 | 339 900 kr | 3 300 kr | 1 056 kr | 1 716 kr |
| Kia EV9 Long Range | 784 900 kr | 6 200 kr | 1 984 kr | 3 224 kr |
*Estimated values. Exact values depend on trim level and the current loan rate.
To minimise the benefit-in-kind value, choose an electric car with a lower list price but high standard specification. Our recommendations:
Tip: Avoid expensive additional equipment that increases the benefit-in-kind value. Instead, choose a higher trim level that offers better value for money.
The employer pays all car costs. The employee is taxed on the benefit-in-kind value.
The employee can make a gross salary sacrifice to reduce the cost. A popular alternative.
Free charging at the workplace is tax-free. A major advantage for electric car drivers.
Employer-funded home charging may be taxable. Check the rules.
Benefit-in-kind value = list price x price base amount factor x 0.7 (reduction for electric cars 2025). The list-price supplement is lower for electric cars.
Electric cars with a lower list price get the lowest benefit-in-kind value. The Kia EV3 and MG4 are among the most tax-efficient thanks to their low price.
Often yes. A lower benefit-in-kind value, lower running costs and free charging options at work make an electric car a smart choice as a company car.
If the employer pays for home charging it may be regarded as a taxable benefit. The rules are complex – consult your finance department.