Class 1A NIC

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The percentage used for calculating an employers' Class 1A National Insurance Contributions (NICs) on company cars remains at 13.8% of the taxable value for 2014/15.

To calculate the amount due you will need to know the car's taxable value. This can be obtained by multiplying the P11d value by the relevant BIK tax percentage. This is then multiplied by 13.8% to give the annual tax due.

Example:

A new BMW 116d EfficientDynamics 3dr with a P11d value of £20,775.00 has CO2 emissions of 99g/km.

The taxable percentage for this model is currently 15%.

Multiply the £20,775.00 by 15% which gives you a taxable value of £3116.25, then multiply this by 13.8%, therefore the annual Class 1A NIC due in 2014/15 will be £430.04