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Ireland Company Car BIK Calculator 2026

Estimate 2026 Irish company-car benefit-in-kind using Revenue's CO2 and business-mileage table, the €10,000 OMV reduction, and the additional €20,000 EV reduction.

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Estimate 2026 taxable company-car BIK and its tax cost using Revenue’s published table.

52.1% is an editable high-rate scenario, not a universal rate.

Annual tax on the car

BIK percentage

Taxable benefit

Your breakdown

Updates live as you type
Step Amount

How the 2026 calculation works

Revenue starts with the car’s original market value, not its current resale price. In 2026, the calculator subtracts €10,000 for categories A1 through D; category E gets no general reduction. A qualifying electric vehicle receives another €20,000 reduction and is placed in zero-emission category A1. The applicable percentage is then selected from Revenue’s four business-mileage tiers and applied to the adjusted OMV.

The four tiers are up to 26,000 km, 26,001–39,000 km, 39,001–48,000 km, and over 48,000 km. Keep a defensible business-mileage log: private travel and ordinary commuting should not be entered as business kilometres.

Worked 2026 example

A category A car with a €35,000 OMV and 30,000 business kilometres receives the €10,000 general reduction. The adjusted OMV is €25,000 and the category A percentage in the second mileage tier is 18%. That produces annual taxable BIK of €4,500. At an illustrative combined marginal rate of 52.1%, the estimated annual tax cost is €2,344.50. Change the combined rate input to match your own expected payroll rates.

Electric vehicles in 2026

A qualifying EV receives the €10,000 general reduction plus the €20,000 EV reduction, for up to €30,000 in total, and uses the A1 percentages of 15%, 12%, 9% and 6%. The reductions lower the OMV before the percentage is applied. They are not subtracted from the resulting benefit.

How do I get into a lower BIK percentage band?

There are two routes: drive more genuine business kilometres, which can move the car into a lower mileage tier, or choose a lower-emission vehicle. The calculator does not decide whether a particular journey is business travel or whether a vehicle qualifies for EV relief.

Is a company van taxed the same way as a car?

No, vans are treated more favourably. A company van available for private use is taxed on a flat percentage of its original market value rather than on the CO2 and mileage table that applies to cars, and the van percentage is lower. This tool models cars, so do not use it for a van, where the charge and the rules differ.

Frequently asked questions

How is company car BIK calculated in Ireland in 2026?
Start with the car original market value, reduce it by the applicable 2026 relief, and multiply the adjusted value by the percentage for its CO2 category and annual business kilometres. The taxable benefit is then added to pay and subject to income tax, USC and PRSI at the employee applicable rates.
What 2026 OMV reduction applies?
For 2026, Revenue provides a 10,000 euro reduction for cars in categories A1 through D. Category E does not receive that general reduction. A qualifying electric vehicle also receives an additional 20,000 euro reduction, so an EV can receive a combined reduction of up to 30,000 euro before the BIK percentage is applied.
What are the CO2 categories for Irish company car BIK?
Revenue uses categories A1 and A through E. A1 is the zero-emission category used for electric vehicles; category E is the highest-emission category. The calculator asks for the category rather than guessing it from a vehicle description.
How does business mileage reduce the BIK charge?
Revenue uses four annual mileage bands: up to 26,000 km, 26,001 to 39,000 km, 39,001 to 48,000 km, and above 48,000 km. The BIK percentage steps down at each threshold because heavier genuine business use means less of the car value represents a private benefit. You must be able to demonstrate the business kilometres through records such as a mileage log. Revenue can challenge inflated mileage claims, so only genuine business travel should be included.
Is this a personal tax quote?
No. The taxable BIK calculation follows the 2026 Revenue table, but the tax-cost result uses the combined income-tax, USC and PRSI percentage you enter. Your actual marginal rates and payroll treatment can differ.

Related calculators

Sources

  1. Revenue — Calculate the Value of a Company-Car Benefit, Revenue (Office of the Revenue Commissioners), Ireland
  2. Revenue — Income Tax, USC and Tax Credits, Revenue (Office of the Revenue Commissioners), Ireland
  3. Department of Social Protection / Revenue — PRSI Contributions, Government of Ireland
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