EIM24950 - Car benefit calculation Step 5, appropriate percentage, 2002 to 2003 onwards: car without a CO2 emissions figure and registered in or after 1998

Section 140 ITEPA 2003

This page relates to step 5 of the method statement in section 121(1) ITEPA 2003, see EIM24015.

It should be unusual for a car first registered on 1 January 1998 or later not to have an approved CO2 emissions figure. This will probably only be the case for rare and one-off models of car (see EIM24530) and for some cars that have been individually imported from outside the European Union (see EIM24525).

Cars powered by petrol

For cars first registered on 1 January 1998 or later that do not have an approved CO2 emissions figure the appropriate percentage used to calculate the car benefit charge is based on engine size.

Engine size (cc) Appropriate percentage up to 2014 to 2015 Appropriate percentage
0 to 1,400 15% 15%
1,401 to 2,000 25% 25%
2,001 and more 35% 37%

If a car has no cylinder capacity (it does not have an engine size measured in cc) the appropriate percentage will be

If the car cannot in any circumstances emit CO2 by being driven (for example a car runs solely on electricity) (see EIM24815):

  • 15% until 2009 to 2010
  • 0% from 2010 to 2011 - 2014 to 2015 inclusive
  • 5% for 2015 to 2016
  • 7% for 2016 to 2017

Otherwise, for example a rotary engine:

  • 35% up to 2014 to 2015
  • 37% from 2015 to 2016

Cars powered by diesel or alternative fuels

The adjustments to the appropriate percentage detailed below apply, except for any part of the reduction that depends on the CO2 emissions figure. The appropriate percentage from the table above is used unless the car falls within one of the categories for which adjustments are required.

Cars first registered before 1998