Changed rules for company cars

By 2021, the rules for company cars will change in three steps: 1 January, 1 April and 1 July.
Here's a summary of what's going on.


January 1

The reduction of the benefit value on rechargeable cars will disappear from the end of the year. This applies to all cars taxed as company cars, including those that are already registered.
For those cars that currently have this reduction, the benefit value is increased by SEK 833/month gross and SEK 458/month net at a 55 percent marginal tax.
The employer's social taxes increase by SEK 260 per month.

For those at Volvo Cars who have a company car where net salary deductions are made (Care By Volvo Co-development N/NT and previous E- and R-car), the effect of this change is limited, i.e. the net salary deduction is unchanged and the benefit value is taxed only to the extent that possibly exceeds the net salary deduction.


April 1

The limit for climate bonus is lowered from 70g CO2 to 60g. The bonus for pure electric cars is increased from 60,000 SEK to 70,000 SEK, while plug-in hybrids receive a reduced bonus of approximately 10,000 SEK on average. There will be a higher tax (Malus) for emissions over 90 grams/km (today 95 grams). The amount is also increased by SEK 25/gram of CO2. This gives a slightly higher benefit value and which in turn gives a higher social cost for the employer. These rules apply to cars registered on April 1, 2021 and later.

For those at Volvo Cars who have a company car where net salary deductions are made (Care By Volvo Co-development N/NT and previous E- and R-car), the effect of this change is limited, i.e. the net salary deduction is unchanged and the benefit value is taxed only to the extent that possibly exceeds the net salary deduction.


July 1

The government wants the costs to be as similar as possible for privately owned cars and for company cars. A proposal is out for consultation and the government's goal is to have the new rules in place during the spring and that they should apply to company cars registered after mid-2021.