Drivers need to factor forthcoming BiK changes into car choices now, says Volvo

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The company is highlighting how the emissions limit for cars qualifying for the lowest Benefit in Kind (BIK) tax band will be dropped from the current level of 120g/km to 99g/km or less from April 2012.

This means that a driver who gets a new car in the first quarter of 2011 on a three-year contract could see significantly higher tax costs in the second and third year with the vehicle.

As such, Mr Shires is highlighting how Volvo is offering DRIVe versions of the C30 hatchback, S40 saloon and V50 sportswagon, which emit just 99g/km CO2, and as such will remain in the lowest tax band for diesel models even after the tax changes.

He commented: 'Company car drivers making a decision about their next car now, need to consider these forthcoming BIK tax changes, or know that they could potentially be missing out financially over the life of the contract.

'The C30, S40 and V50 DRIVe will be unaffected by the new rules thanks to CO2 emissions of just 99g/km, which ensure they will remain in the lowest tax band for diesel company car drivers.'

He added: 'Choosing a low-emission car shouldn’t be a compromise. With DRIVe, motorists can benefit from lower tax bills, while enjoying a spacious, practical car, and still specify luxury items like leather upholstery and a high-end stereo if they want to.'

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