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If you have a company car that is free for full personal use, driving around, on holiday etc. then the car is paid for and given to you by your company. Insuran
by mioelnir 10y ago
If you have a company car that is free for full personal use, driving around, on holiday etc. then the car is paid for and given to you by your company. Insurance, service and often gas is paid by the company.
On the flipside, 1% of the car's list price as well as 0.03% for every km distance between your residence and place of employment is taxed per month. So for 20km distance, it would be 1.6% of the car's list price. That is added as income onto your monthly salary for tax calculation, and those taxes then deducted from your actual cash salary.
- usrusr 10y agoThanks, much better explanation than mine. To readers that might think otherwise: while this certainly is a powerful setup to give Tesla a hard time in the market (if you only paid personally relative to initial cost, nothing at all for consumables, would you still want to go electric?), it clearly predates them. I have personally (and legally, I was told) burnt company fuel in "daddies car" (which he did not own) back in the 90ies.