Reduction in the value of a company car benefit

Your employer submits reports to the Incomes Register, including the tax value of the company car that the employer has given you as a fringe benefit. This value is automatically transferred to your pre-completed tax return. It is included in the sum total of the wage income from the employer or payor.

You can demand a tax deduction based on a reduced tax value of your company car in this section. There might be grounds for reducing the value, if

• your private driving, based on logbook records, was less than 18,000 kilometres, or
• your driving for business/work purposes exceeded 30,000 kilometres for the calendar year.

If instead, you need to declare a higher tax value of your company car, see instructions: Increase in value of car benefit.

How to file in MyTax

Click Show more at the bottom of the page to make Reduction in value of car benefit appear.

The fringe benefit consisting of a company car is included in the pre-completed tax return, but you demand that the value should be less

If your employer had sent the tax value to the Incomes Register, you can see your company car benefit under Pay and fringe benefits in the Pre-completed income and deductions section. 

This means that Reduction in value of car benefit will appear there as well. Tick the box as appropriate: your demand for reduction is based on low private kilometres, or it is based on another reason. Type in the kilometres driven during the tax year.

The company car is missing from your wage income

If the tax value of your company car benefit is not included at all in the sum of the year’s wages on the pre-completed return, follow the instructions below:

• Go to Pay and fringe benefits. First select your employer's name. Add the tax value to the sum of money appearing in Pay and fringe benefits, fees and compensation After this, you should also inform your employer/payor of the missing value, so they can send their corrections to the Incomes Register.
• Then go to Other deductions. Click Show more at the bottom of the page to make Reduction in value of car benefit appear. Tick the box as appropriate: your demand for reduction is based on low private kilometres, or it is based on another reason. Type in the kilometres driven during the tax year.

Pre-completed income and deductions contain no information on your wages and salaries

If you have no wage amounts showing under Pre-completed income and deductions, or if there is no information on your company car, follow the instructions below:

• First, go to the Other income stage.
• Select Yes for Wages, salaries, fees and compensation.
• Select the Add new payor button, and then go to Amount of income to enter both your total wages and salaries and the total yearly value of your fringe benefit, the company car. After this, you should also inform your employer/payor, so they can send their corrections to the Incomes Register.
• Then go to Other deductions. Click Show more at the bottom of the page to make Reduction in value of car benefit appear. Tick the box as appropriate: your demand for reduction is based on low private kilometres, or it is based on another reason. Type in the kilometres driven during the tax year.

Further information

Read more about the fringe benefit in the form of a company car

How to file on paper

If the company car’s value must be reduced and you make corrections on paper, submit Form 50A – Earned income and deductions.