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HMRC internal manual

Employment Income Manual

Car benefit calculation Step 5, appropriate percentage, 2002/03 to 2005/06: table summarising adjustments to appropriate percentage for different fuels

This page relates to step 5 of the method statement in Section 121(1) ITEPA 2003, see EIM24015.

The ready reckoner at EIM24700 gives the appropriate percentage for cars powered by petrol (type P).

This table brings together all adjustments to the appropriate percentage arising from the use of other fuels, including those for diesel cars, between 2002/03 and 2005/06. For years from 2006/07 see below.

Fuller information is available at the page references given.

Type of fuel Code Page Standard adjustment Extra adjustment Other adjustments
Petrol P EIM24800 none none none
Diesel (up to Euro III) D EIM24805 supplement: 3% (see note 1) none none
Diesel (Euro IV or 5) first registered on or after 1 January 2006 L EIM24810 cancel type D supplement, above none none
Electric only E EIM24815 reduction: 6% none none
Petrol/electric hybrid H EIM24820 reduction: 2% see note 2 none
Gas only B EIM24830 reduction: 1% see note 2 none
Bi-fuel with CO2 emissions figure for gas (note 3) B EIM24830 reduction: 1% see note 2 use lowest CO2 figure
Bi-fuel conversion, or other bi-fuel not within type B C EIM24835 reduction: 1% none none


1 Subject to the overall maximum appropriate percentage of 35%.
2 Additional 1% for every full 20g/km that the car’s CO2 emissions are below the lower threshold for the year, EIM24650. This adjustment is no longer available from 2006/07 onwards.
3 Bi-fuel car meeting the conditions to be a type B car at EIM24825.

Supplements and reductions only apply to cars first registered on or after 1 January 1998. They apply to all such cars, whether or not they have an approved CO2 emissions figure, although cars without such a figure cannot take advantage of the extra adjustment column above.

Unless the car falls into one of the categories for which adjustments are required, it is type P.

Years from 2006/07 onwards

For adjustments for these years, see

  • EIM24725 for years from 2006/07 to 2010/11, and
  • EIM24730 for years from 2011/12.