Learn how company car tax (BIK) works in 2026/27. Understand P11D values, CO2 bands, electric car rates and whether a car allowance is better.
Compare company car benefit-in-kind tax vs car allowance take-home pay in 2026/27. Includes worked examples, BIK rates, fuel card rules and who benefits from each option.
A 2026/27 comparison of taking a company car versus a cash car allowance, factoring Benefit-in-Kind tax, fuel, insurance and who really wins for petrol, hybrid and EV.
Car allowance vs company car UK 2026: worked tax examples for cash, petrol, and EV options. BiK rates, AMAP rules, and when the allowance wins after tax.
