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26Nov
2020

Additional tax liability for electric cars in 2021

Additional tax liability for electric cars in 2021

In addition to the sustainability aspect, driving an electric car for business purposes also provides a tax benefit for the lease car driver. Over the past year, the additional tax liability for an electric car amounted to 8% of the list price up to € 45,000 and 22% beyond that. This will change in 2021.

Formally, for an all-electric car, the standard additional tax liability rate of 22% of the catalogue value applies, which is then subject to a discount. For 2021 this discount is 10%, up to a maximum of € 4,000. This means that for an electric car, the additional tax liability in that case is 12% of the fiscal value up to € 40,000. An additional tax liability of 22% applies to the fiscal value above € 40,000. You will retain this lower additional tax liability until five years after the date of first admission.

Until 2025, the additional tax liability will be increased in steps, until it is equal to petrol and diesel cars. Next year, not only will the additional tax liability rate for newly purchased cars be increased, the portion on which the low additional tax liability rate is calculated will also be different. The amount based on which the lower percentage is calculated will be reduced to € 40,000. In 2020, the additional tax liability was still 8% on the first € 45,000 and 22% on the fiscal value above € 45,000.

Overview of additional tax liability for electric vehicles up to 2026

2021 12% on the first € 40,000, 22% on the fiscal value above € 40,000
2022-2024 16% on the first € 40,000, 22% on the fiscal value above € 40,000
2025 17% on the first € 40,000, 22% on the fiscal value above € 40,000
2026 and beyond Regular additional tax liability, 22% over the total fiscal value

The additional tax liability rate and the discount for the year of purchase applies up to a maximum of five years of use. After these five years, the additional tax liability scheme for electric cars that applies in that particular year will always apply. Therefore, if you started driving an electric car in 2019, then in 2025 the additional tax liability for electric cars in that year will apply.

Motor vehicle tax (BPM) 

However, there is also a motor vehicle tax rate that applies to electric cars and affects your additional tax liability. Until 2025, no motor vehicle tax will have to be paid when purchasing an electric car (known as the zero rate). The electric car will therefore be delivered without this purchase tax. This results in a considerably lower tax value, which results in a lower additional tax liability. From 2025 onwards, a motor vehicle tax rate of € 360 will be charged for an electric car.
If you still want to take advantage of the current low additional tax liability rate of 8%, it is important to choose an electric car that will be available quickly and can still be registered in 2020. 

If you would like to know more about leasing an electric car, look here

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