Tax reform 2022 concerning the benefit in kind of company vehicles
Find out about the recent changes in the 2022 tax reform regarding the benefit in kind of company vehicles.
Since the entry into force of the tax reform on 1 January 2022, a number of changes now impact the calculation of the benefit in kind on company vehicles.
The 2017 tax reform changes the calculation of the benefit in kind for each employee with a company car.
The benefit in kind no longer depends solely on the investment value of the vehicle, but also on its CO² emission rate and engine.
The previous tax regime for the calculation of the ATN was as follows:
This scheme will continue to apply to:
- Vehicles registered before 31/12/2021.
- Vehicles for which a contract was signed before 1 January 2022 and vehicles registered before 1 January 2023.
Since 1 January 2022, intermediate emission thresholds and corresponding rates have been added for the calculation of the NTD.
100% electric vehicles are subdivided into 2 categories according to the WLTP consumption in kWh/100km of the vehicle:
This new regime applies to:
- Any vehicle that has been the subject of a contract signed with registration in 2022. In this case, the vehicle will be subject to the previous regime (2017 - 2021) again in 2022, and then to the current regime from 1 January 2023.
- Vehicles registered between 1 January 2023 and 31 December 2024 as well as vehicles that are the subject of a contract signed before 1 January 2025 and that are registered no later than 31 December 2025.
Finally, from January 2025, the rule is simplified into 2 categories and 3 tax rates for the calculation of the ATN with 100% zero-emission electric vehicles and other powertrains, as follows:
This next regime will apply to:
- All vehicles registered on or after 1 January 2025, without a contract signed before 1 January 2025.
ATN Transition Summary:
Do you need support in this transition? Any questions?
Contact your sales representative for more information.
** Category M1 = motor vehicles with a maximum of 8 seats in addition to the driver's seat
** WLTP is the new cycle imposed on car manufacturers to measure a car's CO2 emissions. This cycle was set up following the scandals (Dieselgate) that shook the automotive sector in 2015. WLTP is supposed to better reflect a vehicle's CO2 emissions under normal operating conditions*
