Car benefit calculation Steps 1-6, 2008/09 to 2010/11: car manufactured to run on E85 fuel (type G): example
This reduction applies only to years from 2008/09 to 2010/11. No reduction is available in earlier years.
Only cars manufactured to be capable of running on E85 fuel are affected by the adjustment on this page; see EIM24840.
For years from 2008/09 only, check whether the car is a QUALEC (EIM24605).
If it is not, look up the appropriate percentage for a petrol-powered car in the ready reckoner at EIM24700.
Finally, make any required adjustments for this type of car (summary at EIM24725 for 2008/09 to 2010/11 only).
The price of the car is £17,600 and its CO2 emissions figure 167 g/km.
The car is not a QUALEC (had it been, the appropriate percentage would be 10% with no further reduction, see EIM24605).
The appropriate percentage from the ready reckoner is 21%. There is a standard reduction of 2%. The appropriate percentage (the figure at step 5) is therefore 21% - 2% = 19%. The basic car benefit charge (the figure at step 6) is £17,600 x 19% = £3,344.