Two forms of tax benefits are available for the use of low- or zero-emissions vehicle (ZEV) company cars as private vehicles. In 2014, 33% of cars registered were company cars, compared to 36% for private cars.
1. Income tax rates:
In the Netherlands, the use of company cars for private use is taxed. However, a more favourable rate of income tax is available for people who use low or zero-emissions company cars for private use.
Since 2017, the rates are as follows:
- 4% income tax on ZEVs
- 15% income tax paid pn vehicles with an emissions intensity is <51 gr CO2/km. This applies to most plug-in hybrids (PHEV),
- 21% income tax paid on vehicles with an emisssions intensity of 51-106 gr/km.
- 25% all others over that.
2. Tax deductivle investments:
Clean technology investments are partially deductible from corporate and income taxes. ZEVs and PHEV (excluding those with diesel engines) cars are on the list of tax-deductible investments, as are the accompanying charging points.
- Transport end-uses