Zero tax on company cars – but only for one year

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From 6 April 2020, new zero emission models will pay no company car tax in 2020-21, 1% in 2021-22 and then 2% rate in 2022-23. The current benefit in kind rate of 16% of the list price for zero emission cars remains in place until 5 April 2020 – so expect a rush on electric cars soon after that date.