Why choose a hybrid car as a company car?
Hybrid cars make ideal company cars for business owners and sole traders. Financial and ecological pluses compensate for the slightly higher purchase price, and an electric vehicle will also enhance the social image of your business.
What is a hybrid car?
Hybrid cars combine the combustion engine of a traditional car with an electric motor and a battery. The two things combined make up for each other’s weaknesses. How and when they do that depends on the type of car.
The ultimate benefit: The addition of an electric motor increases the efficiency of the combustion engine by up to 5 times.
There is a hybrid car for every business and they come in all forms: from compact city cars and robust SUVs to delivery vans in various sizes.
Did you know that, with all these cars, you are doing your bit to reduce our carbon emission (CO2 emissions)? They are also financially attractive for business owners.
Which hybrid cars are available?
- Full Hybrid: Thanks to its powerful battery, a Full Hybrid can travel purely on electricity for a few kilometres. It is the perfect city car because the fuel engine does not engage during starting and stopping. The electric motor also provides backup at constant speeds on the motorway. Full Hybrids do not draw electricity from a power socket but only charge up during driving.
- Semi or Mild Hybrid: In the Semi or Mild Hybrid the combustion engine provides the drive for the wheels. The electric motor is only there to act as a boost during starting, stopping, acceleration, gear changing and while maintaining high speeds. Yet it emits 15% less harmful substances than a conventional car.
- Plug-in Hybrid: You can charge the battery of a Plug-in Hybrid using any power socket. The powerful electric motor can power the car to speeds of up to 130 kph. Some Plug-In Hybrids drive up to 50 kilometres electrically before the combustion engine kicks in.
- Range Extender: The small fuel engine of the Range Extender doesn’t drive the wheels of the car, but charges the battery when it risks running out of power. This means you are always driving electrically, with occasional backup from the diesel or petrol engine.
To summarise: The benefits of a hybrid car for your business
- A hybrid car has the same working radius as a conventional car and a bigger one than fully electric cars.
- The electric motor mainly works during starting and stopping, making a hybrid van perfect for deliveries and loading and unloading.
- It is economical and eco-friendly because you need to fill up with fossil fuels less frequently. Also, the lower consumption immediately gives you a tax benefit.
- Anyone driving hybrid is thinking about sustainability. A quick bonus for the image of your business.
Tax deductibility for plug-in hybrid cars from 2020
From 2020 onwards, hybrid company cars in Belgium will have to meet strict requirements in order for you to benefit from tax relief on your tax return.
For example, in Flanders (NL) cars must have a minimum battery capacity of 0.5 kWh per 100 kilos, and may not emit more than 50 grams CO2 per km.
In Brussels and Wallonia (FR) roughly the same terms and conditions apply. Always discuss it with your car dealer and accountant before buying a car.
Here you will find an overview of plug-in hybrids that will continue to be fully tax-deductible (NL) even after 1 January 2020.
Call our credit advisers directly on 0800/15123
Contact ING BCC for a clear credit solution for the purchase of your hybrid company car.