P11D
Car tax price (P11D)
For drivers of company cars, your tax liability is calculated using the cars tax list price, or P11D price.
This is the total of:
1. The manufacturers list price on the day of registration
2. The cost of all manufacturer fitted accessories on the vehicle.
3. Any manufacturer delivery charges
4. Any dealer fitted or third party fitted accessories
5. All taxes (VAT), but not road fund licence.
Any discount received on the vehicle is not taken into account when calculating the tax price.
The P11D values has an upper limit of 80,000, so any vehicles with a list price above this will only be taxed on this value.
Example
An employee is given a new car on 1st April 2010. The car is a new Audi A3 2.0 TDI Sport 3dr Manual.
On this date, the price for the vehicle is as follows.
List price for vehicle: £16,391.49
Audi Delivery charge: £561.70
VAT on the above: £2,966.81
Total: £19,920.00
This figure is the P11D value that you now use to calculate your tax benefit, which is graduated on a scale dependant on your vehicles CO2 emissions. Click here for more information on calculating your company car tax.