Lease rental restriction
For businesses that hire or lease their cars, tax relief is limited for higher emitting vehicles
From April 2021 - based on CO2 emissions
For contracts entered in to from April 2021, tax relief for leased cars is limited according to the CO2 emissions per below:
| CO2 emissions | Allowed rentals | Disallowed rentals |
|---|---|---|
| 50 g/km or below | 100% | 0% |
| Above 50 g/km | 85% | 15% |
From April 2018 to March 2021 - based on CO2 emissions
For contracts entered in to from April 2018 until March 2021, tax relief for leased cars is limited according to the CO2 emissions per below:
| CO2 emissions | Allowed rentals | Disallowed rentals |
|---|---|---|
| 110 g/km or below | 100% | 0% |
| Above 110 g/km | 85% | 15% |