Are your commercial vehicles still running on diesel or petrol? Then it is high time to think about electric cars. The advantages increasingly outweigh the disadvantages as the tax regime changes. Take advantage of these tips!
One in three new cars in our country runs on a battery, and that number is rising visibly. The automotive industry federation Febiac noted over 124,000 new electric vehicles in 2022, its market share rising from 18.4% in 2021 to 26.5% in 2022. By 2030, Belgium is estimated to have 1.5 million electric cars.
In 2022, 87% of fully electric cars were purchased by a company. Plug-in hybrids are also almost all driven for companies (91.4%), writes De Tijd. Logical, because the advantages of electric vehicles increasingly outweigh the disadvantages. Especially for companies.
Tax advantage classic company cars to disappear soon
Electric vehicles have clear advantages as company cars: as a company, you emit less CO2 , you can easily drive in low-emission zones and you take a serious step towards sustainable business. So greening your fleet is good for your footprint, and for your image.
Also, electric driving is gradually becoming noticeably cheaper than fossil fuel driving. And the Belgian government is giving you as an entrepreneur an extra good reason to switch over now. Because on 1 July 2023, the transitional arrangement that makes non-carbon neutral company cars fiscally uninteresting will take effect.
What about that exactly?
- If you buy a new company car after 1 July 2023 that still runs on diesel or petrol, or a hybrid car, you will see your tax advantage shrink year by year. By the end of 2026, only cars that emit no greenhouse gases will be 100% tax deductible.
- From 1 January 2027, the tax deductibility for electric cars will also gradually decrease. In 2031, it will be only 67.5%.
Note that the tax regime for 'light cargo' is not quite the same as for passenger cars.
Are you taking the step to go for electric cars? Then the federal government will also assist you with the cost of installing charging poles or charging stations. If you install them before 31 August 2024, under certain conditions you will enjoy a tax cost deduction of up to 150%. In addition, some cities, municipalities and regions offer extra premiums and subsidies. So be sure to check out your options in this area too.
How to green your fleet?
Before switching entirely to electric company cars, you would do well to take a close look at your company's entire mobility policy. Take the time to inform yourself properly before taking any decisions. And involve your employees too. If your whole team is 'on board', the transition will automatically run more smoothly.
On a side note: this is also the time for your company to consider other alternatives. Just think of the mobility budget: this allows each employee to choose how to travel sustainably and, as an employer, you pay for a train pass and an electric scooter, for example, instead of a car (electric or otherwise).
What will change for employees?
Will electric driving require major adjustments for your employees and the way they carry out their work? Consider this thoroughly and discuss it with them; they often have valuable ideas and suggestions on the practical side of things.
Communicate timely and openly about the full picture: how and when will cars be replaced, what advantages and disadvantages will this have for the company and for individual employees, will anything change in the way your company operates?
Which electric commercial vehicles suit your business?
Do company cars serve mainly for commuting, or do you also need them for work trips? Can your employees charge their cars at home or only at work? What about your budget?
Check vehicle by vehicle whether it is interesting to replace it (already) with an all-electric one, and which type is best to choose.
How will you charge the electric cars?
You are cheapest off if you charge the cars at your company. If you don't have enough capacity there, you can let your employees charge at home. That has the added advantage that their car is also ready for use when they working from home or have holidays.
What is the real cost of an electric car?
You cannot decide on the right investment until you have a view of all the figures. Besides the (generally higher) purchase price of an electric vehicle and the greater tax deductibility, you should also take into account, among other things, the lower maintenance costs and the cheaper loan you get from most banks.
The tax deduction for car and fuel costs is higher, and the tax your employees pay on the private use of the car (VAA or benefit in kind) is just lower.
What rules and agreements are needed?
Do you decide to opt for electric cars from now on? Then it's time to update your car policy. This clearly states which employees get an electric company car, where they charge it, how the costs of the charging station and charging are shared, and so on. Also very useful is a short course on how to drive and charge an electric car efficiently.
Insure your electric cars correctly
That you'd better give us a call when you buy a new commercial vehicle, we don't need to explain. Call 054 32 95 41 or email to email@example.com and we'll update your car insurance quickly.
But have you also thought about fire insurance? When you make your fleet electric, chances are you will also install charging stations. Like charging stations at your employees' homes, these are not covered by the insurance of the electric company vehicles themselves. So be sure to contact us to see what adjustments are needed in your fire policy.
You see: switching to an electric fleet involves a lot of things. Are you unsure which path is best for your company? We will be happy to help you weigh up all the pros and cons.
The insurances from this article
These products are named in this article. Any questions? We will be happy to advise you.
Whether you opt for a compulsory third-party liability insurance or a fully comprehensive insurance with all the trimmings, or something in between? The choice is yours.
Fire & other risks
This insurance is not only a fire insurance policy, but covers your movable and immovable property for various risks, including fire, vandalism and storms.