30,000 km for work: how to reduce the benefit value to 75 per cent

What does the rule say?

The condition is at least 30,000 km for work in the company car during the calendar year, with you as the employer.

If the condition is met, you may reduce the benefit value to 75 per cent of the full value. You do that yourselves as the employer.

How much do you save?

Suppose the car has a benefit value of 60,000 kronor per year.

The benefit value is added to the employee's salary. The tax is the amount the employee pays for the benefit.

The example assumes a 32 per cent marginal tax rate and full employer's contributions, which are 31.42 per cent for 2026. The marginal tax rate depends on municipality and income, so feel free to use your own figure.

In total that is about 9,500 kronor per year and car in the example. With three sales staff or technicians who drive a lot, it adds up to a noticeable sum.

Can you reduce the value during the year?

Yes. You may apply the reduction as you go during the year, as long as you can assume the employee will drive at least 30,000 km for work during the year.

If the employee does not drive 30,000 km for work during the year, you must revise the reporting of the benefit value in the employer's tax returns and report the full benefit value.

That is why you need to know, already during the year, how far the employee has driven for work.

How do you show 30,000 km for work?

With a mileage log, which can be supplemented with, for example, travel expense claims or diary notes. The Swedish Tax Agency mentions extensive business driving as one of the cases where an ongoing and carefully kept mileage log is particularly important.

The log needs to show which trips were for work and how long they were.

Read more: Mileage logs, what the Swedish Tax Agency requires.

Three things to watch out for

You do not know how far the cars have driven. 30,000 km is 2,500 km a month. A service technician can be close to the limit without anyone having counted.

The log is filled in afterwards. The Swedish Tax Agency talks about an ongoing mileage log. A log for the whole year written in January is not that.

Fear of a revision. It can mean the rule is not used, even when the car clears the limit by a good margin.

All three have the same solution: always knowing how far every car has driven for work.

Follow up as you go

With an electronic mileage log that updates automatically, you see the business kilometres grow month by month, instead of counting in January. Then you have the records to apply the reduction from the start of the year.

Really you only need to answer one question per car and month: how many kilometres has the car driven for work so far, and is it ahead of or behind the pace?

FAQ