What is benefit-in-kind (BIK) tax?
Benefit-in-kind (or BIK) is a tax on employees who receive perks from their job on top of their salary. So, if you have a company car that you also have for private use, you’ll have to pay a BIK tax contribution.
How much you pay will depend on the BIK tax band of your car. That is based on a number of factors, including CO2 emissions and the list price of the car (including any optional extras and VAT, but without the cost of the first year registration fee and vehicle tax).