Benefit in Kind (BIK) – Electric Vehicles – Finance Act 2018
From 1st January to 31st December 2021 (i.e. for a three year period) there will be no Benefit in Kind charge on vehicles solely powered by electricity if the original market value is less than €50,000.
Please be aware this favourable treatment does not apply to hybrids.
In situations where the open market value of the vehicle is greater than €50,000 the excess will be liable to tax as a Benefit in Kind.
Electric vehicles valued at in excess of €50,000 that were provided to the employee between 1st January 2017 and 9th October 2018 continue to be exempt from a BIK charge. Please keep in mind, however, that this exemption could be affected if the electric car which was provided to the original user between 1st January 2017 and 9th October 2018 is subsequently provided to a new user.
For further information, please follow this link:
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