The value of a company car can be calculated using one of two methods as stipulated by EStG, s 8:
| Valuation method | Details |
| Method 1 | Calculate 1% of the list price of the vehicle (rounded to nearest EUR 100).
To that add an additional charge of :
0.03% of list price x the kilometer (KM) travelled between home and normal place of work |
| Method 2 | Use a log book to identify the split between private and business mileage.
Use this ratio to prorate the total cost of the vehicle accordingly |
Method 1 – percentage of list price
Method 1 must be used where the employee and employer have not expressly agreed a calculation method. The list price is used, plus the cost of any optional accessories added to the vehicle. Accessories added after first registration are not considered.
Where no list price is available (eg for a foreign imported vehicle) the employer
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Web page updated on 17 Mar 2025 15:13