Electric or not: These new tax rules apply to company bikes
Neustadt an der Weinstrasse, April 12, 2019 - Whether pedelec, bike or e-bike: Since January 1, 2019, depending on the bike, employees have paid less or no tax for their company bike. The income tax relief association United Pay Tax Assistance (VLH) explains which tax rules apply to which bicycle since this year.
Tax-free: the normal bicycle as a company bicycle
The classic bike as a service bike - i.e. without an electric drive - has been tax-free since 2019, regardless of whether the service cyclist is on business or privately. In addition, he can take advantage of the commuter flat rate, i.e. deduct 30 cents per kilometer and one-way trip a day from tax.
Important: The new regulation applies to bicycles that are purchased from January 1, 2019 and ends on December 31, 2021 according to current plans.
Tax-free: The electric bike up to 25 km / h as a company bike
If the company bike is an electric bike that reaches speeds of up to 25 kilometers per hour, the same rules apply as for normal bikes since 2019: Both professional and private use are tax-free, and the commuter allowance remains unchanged.
Important: the bicycle remains tax-free only if the employer has given the employee the bicycle for use. If the employer transfers the bicycle as ownership to the employee, taxes are due.
0.5 percent rule: the pedelec with speeds above 25 km / h as a company bike
An electric bicycle that can drive over 25 km / h is a motor vehicle. Accordingly, other rules apply to these pedelec company bicycles - they are equivalent to a company car.
The result: private rides on electric bikes are taxed with the 1% rule. The monetary benefit has been set at one percent of half the list price since 2019 - that's why we speak of the 0.5 percent rule.
Specifically, this means: The decisive factor is the gross value of the e-bike when buying, i.e. usually the recommended retail price. This value is halved and one percent is calculated. The result is the value that has to be taxed monthly. Taxation runs automatically via the pay slip, because the employer adds the monetary benefit to the employee salary.
By the way: The old regulation applies to all bicycles that were purchased by December 31, 2018. According to this, private trips are generally taxed with the 1% rule - namely one percent on the full list price. It doesn't matter whether the bike is motorized or not.
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