http://www.legislation.gov.uk/id/ukpga/2017/32

PART 1Direct taxes

Income tax: employment and pensions

2Taxable benefits: ultra-low emission vehicles

1

ITEPA 2003 is amended as follows.

2

In section 139 (car with a CO₂ emissions figure: the appropriate percentage), for subsections (1) to (6) substitute—

1
The appropriate percentage for a year for a car with a CO₂ emissions figure of less than 75 is determined in accordance with the following table.
Car
Appropriate percentage
Car with CO₂ emissions figure of 0
2%
Car with CO₂ emissions figure of 1 - 50
Car with electric range figure of 130 or more
2%
Car with electric range figure of 70 - 129
5%
Car with electric range figure of 40 - 69
8%
Car with electric range figure of 30 - 39
12%
Car with electric range figure of less than 30
14%
Car with CO₂ emissions figure of 51 - 54
15%
Car with CO₂ emissions figure of 55 - 59
16%
Car with CO₂ emissions figure of 60 - 64
17%
Car with CO₂ emissions figure of 65 - 69
18%
Car with CO₂ emissions figure of 70 - 74
19%
2
For the purposes of subsection (1) and the table, if a CO₂ emissions figure or an electric range figure is not a whole number, round it down to the nearest whole number.
3
The appropriate percentage for a year for a car with a CO₂ emissions figure of 75 or more is whichever is the lesser of—
a
20% plus one percentage point for each 5 grams per kilometre driven by which the CO₂ emissions figure exceeds 75, and
b
37%.
4
For the purposes of subsection (3), if a CO₂ emissions figure is not a multiple of 5, round it down to the nearest multiple of 5.
5
In this section, an “electric range figure” is the number of miles which is the equivalent of the number of kilometres specified in an EC certificate of conformity, an EC type-approval certificate or a UK approval certificate on the basis of which a car is registered, as being the maximum distance for which the car can be driven in electric mode without recharging the battery.

Car	Appropriate percentage
Car with CO₂ emissions figure of 0	2%
Car with CO₂ emissions figure of 1 - 50
Car with electric range figure of 130 or more	2%
Car with electric range figure of 70 - 129	5%
Car with electric range figure of 40 - 69	8%
Car with electric range figure of 30 - 39	12%
Car with electric range figure of less than 30	14%
Car with CO₂ emissions figure of 51 - 54	15%
Car with CO₂ emissions figure of 55 - 59	16%
Car with CO₂ emissions figure of 60 - 64	17%
Car with CO₂ emissions figure of 65 - 69	18%
Car with CO₂ emissions figure of 70 - 74	19%

3

In section 140 (car without a CO₂ emissions figure: the appropriate percentage)—

a

in subsection (2), in the table —

i

for “23%” substitute “ 24% ”, and

ii

for “34%” substitute “ 35% ”;

b

in subsection (3)(a), for “16%” substitute “ 2% ”.

4

In section 142(2) (car first registered before 1 January 1998: the appropriate percentage), in the table—

a

for “23%” substitute “ 24% ”, and

b

for “34%” substitute “ 35% ”.

5

Omit subsection 170(3).

6

The amendments made by this section have effect for the tax year 2020-21 and subsequent tax years.