Policy status:In Force
Date Effective:2002
Date Amended:


Policy Type:Economic Instruments>Fiscal/financial incentives
Policy Target:Transport>Fuel>Alternative fuel
Agency:National Taxation Board (Skatteverket)

A significant share of the new car sales consists of so-called benefit cars. A benefit car is a company car where the employer offers the employee to use it also for private driving. These cars risk becoming heavier and more fuel consuming than the rest of the vehicle fleet. To counteract this development, the rules have been gradually altered since 1997. Initially the changes aimed at making the employee pay for the fuel used for private driving and thereby increase the incentives for more efficient driving and less consuming cars.

In December 2001, the government implemented new legislation with lower benefit value for environmentally friendly cars driven on bio fuels in order to stimulate the sale of new cars with these properties. More than a decade later, the same reasoning remains valid, although the rules have been changed several times, including the very definition of environmentally-friendly cars.
For so-called environmental cars there are rules for reducing the benefit value, since environmental cars are generally more expensive in purchasing than other cars. However, with the special rules for environmental cars, the benefit value in some cases is significantly lower for environmental cars than for comparable cars.

The employer may, without special application to the Swedish Tax Agency, reduce the preferential value for environmental cars. Reduction of the benefit value is as follows.

  • Electric and charge hybrid cars, which can be charged from the mains, and gas cars (not gasol) are first adjusted to a comparable car without environmental technology. Thereafter, the preferential value is reduced by 40 percent, a maximum of SEK 16,000 for the income year 2012-2016 and a maximum of SEK 10,000 from the 2017 income year. This only applies if the car has a new car price that is higher than the nearest comparable car.
  • Ethanol cars, non-powered electric cars, and cars that can run on gasol, rapemethyl ester and other types of environmentally adapted fuels are only adjusted down to a comparable car.
25 Energy Efficiency Recommendations Applied:Transport

Last modified: Tue, 16 Jan 2018 12:20:50 CET