Company car: is this a private cost sharing?
March 13, 2011 | 20,00 EUR | answered by Dipl.BW/SB Ulrich Stiller
Hello.
My employer is offering me a company car including personal use.
It is to be taxed using the 1% method. In the company car policy, 1.75% of the list price is specified as the usage fee. This will be deducted through a gross salary conversion.
Example data:
30 km one-way distance to the workplace
€26,000 list price
Monthly gross salary €3,000
Tax class I, over 23, no children, NRW
no other special circumstances
How much will this company car cost me and how much will I have left after taxes?
Dear client,
Thank you for your inquiry, which I would like to answer based on the information provided and in the context of your involvement in an initial consultation as follows:
In your case, there is a salary conversion in favor of non-monetary benefits. The following salary calculation results from this, i.e. the usage fee of 1.75% = 455€ is deducted from the gross salary, resulting in an amount of 2,545€:
Salary 2,545
1% of the list price 260
0.03% x 26,000 x 30km
for journeys between home and work 216
Total gross 3,021
This results in a net salary without
considering church tax 1,884.68
I hope I was able to assist you with my explanations.
Sincerely,
Ulrich Stiller
Tax consultant/Diplom Business Economist
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