Company car: the three figures
that change everything in 2026
0%, 50%, 100% — since January 2026, three figures sum up all company car taxation in Belgium. Depending on your engine type, the difference can mean thousands of euros per year.
Any new diesel, petrol or mild hybrid contract signed in 2026.
PHEV contracts signed between July 2023 and December 2025 only.
All 100% electric vehicles, without exception.
Combustion engines: game over
Diesel, petrol, non-plug-in mild hybrid: as of 1 January 2026, any new combustion vehicle contract gives no right to any tax deduction. This is not a reduction — it is a complete elimination.
Important: if your combustion vehicle was ordered before 1 January 2026, you are not yet affected. The old rules apply until the end of your current contract.
Calculate my vehicle's real cost →PHEVs: living on borrowed time
Plug-in hybrids (PHEVs) still benefit from partial deductibility in 2026 — but everything depends on your contract date.
Treated as a pure combustion vehicle. No tax benefit.
Electric: the only winner
100% deductibility for pure electric vehicles is not new — but the comparative advantage has never been stronger. While your neighbour pays 0% deductibility on their diesel Golf, your Tesla or Polestar remains fully deductible.
Your situation by profile
Self-employed (sole trader)
This is the most affected profile. Before 2026, a combustion vehicle allowed a significant portion of expenses to be deducted from taxable income. That is no longer the case for any new contract. If your lease is coming up for renewal in 2026, now is the time to switch to electric — every month of delay postpones the start of your savings.
Self-employed car guide →Employee with a company car
Your employer absorbs the extra tax cost for now, but it will eventually be passed on through tighter vehicle budgets or a reduced eligible model list. If you are up for renewal, check your employer's car policy before choosing a model.
Calculate my BIK →SME with a fleet
For a fleet of 10 vehicles, the shift from 75% to 0% deductibility represents €30,000 to €50,000 in extra annual costs depending on the models. Fleet electrification is no longer an ethical choice — it is a financial imperative.
Analyse my fleet TCO →Frequently asked questions
Is my combustion lease contract signed in 2025 affected?
No. Existing contracts keep the tax rules that applied at the order date. The reform only applies to vehicles ordered from 1 January 2026.
Does a PHEV ordered before 2026 stay at 50% deductibility for the whole contract?
No. The deductibility rate changes each year according to the current tax calendar, regardless of the order date. A PHEV signed in 2024 will be at 50% in 2026, 25% in 2027, and 0% in 2028.
Does the CO2 contribution ×4 also apply to private individuals?
No. The employer CO2 solidarity contribution is only payable by employers for company cars made available to employees.
What is the BIK and is it affected by the reform?
The benefit in kind (BIK) is the taxable value assigned to an employee who has a company car for private use. Its calculation was not changed by the 2026 reform — but electric vehicles mechanically have a lower BIK because their CO2 emissions are 0.
Is it still worthwhile to take a PHEV as a company car in 2026?
For a new contract signed in 2026: no, deductibility is 0%, same as combustion. For an existing contract signed before 2026: deductibility stays at 50% this year but falls to 0% by 2028. The full-contract TCO still compares unfavourably to electric.
Calculate your exact situation in 30 seconds
Combustion, PHEV or electric — enter your vehicle and get the real tax cost with 2026 parameters.
Verified rates · Sources: Securex, Moniteur Automobile · Updated 3 June 2026