Which car to choose from 2026? The fiscal impact for entrepreneurs
The federal reform of auto fiscality from 2026 is a gamechanger for entrepreneurs with a limited company. The focus is clearly on GreeningAnyone wanting to choose a new car from 2026 should take the tax implications for companies into account. If you opt for cars with CO₂ emissions, you will lose almost all tax benefits.
For Bookies' customers – IT, HR and management consultancy firms – is this the moment to look strategically ahead.
In this blog, we explain Clear and practical from
- Which cars will still be tax-efficient from 2026
- what the impact is on Cars you have already bought
- and what you should take into account today
What is fundamentally changing from 1 January 2026?
From 2026, the tax authorities will make a clear distinction:
❌ Cars with CO₂ emissions
- Petrol
- Diesel
- Classic hybrids (non-rechargeable)
- Plug-in hybrids (PHEV)
0% deductibility in corporation tax, for both new and used cars that from January 1, 2026 are purchased or leased.
✅ Zero-emission vehicles
- Fully electric vehicles (EVs)
- Hydrogen cars
Remain deductible, but with declining percentages for orders after 2026.
Purchasing from 2026: what is still tax-efficient?
Electric cars (new or used)
| Order year | Deductibility |
|---|---|
| 2026 | 100% |
| 2027 | 95% |
| 2028 | 90% |
| 2029 | 82,5% |
| 2030 | 75% |
| 2031 | 67,5% |
Good to know
- The deduction applies to all car costs (Depreciation, maintenance, insurance, electricity) and for the entire lifetime of the car. If you buy an electric car in 2027, it will remain deductible until the end of its use, up to 95%%.
- From 2026, you will pay again in Flanders BIV and annual road tax for EVs that are then registered.
Plug-in hybridsEnd of story for companies
For businesses, it's clear:
- No PHEVs is still deductible from 2026
- This also applies to second-hand plug-in hybrids
- Also fuel and car costs are 0% deductible
📌 For self-employed individuals in personal taxation there is still a restricted regime, but for management companies the advantage is gone.
What about the tax implications for cars you already bought or ordered before 2026?
Petrol, diesel and (plug-in) hybrids ordered before 31/12/2025
These fall under a extinction scenario:
| Tax year | Deduction |
|---|---|
| 2025 | max. 75% |
| 2026 | 50% |
| 2027 | 25% |
| from 2028 | 0% |
This also applies to fuel costs and the deduction decreases year after year
✔️ Even if the car is only delivered in 2026, as long as it was ordered before 2026
Bought an electric car in 2025?
Good news:
100% deductible for the full lifespan of the car
Furthermore:
- Exemption from BIV and traffic tax remains preserved
- Even if you bought before 6 October 2025 but only register in 2026, you can still retain the exemption by submitting a form.
Second-hand cars from 2026: watch out for the order date
Fiscality depends not bothered about the year of construction, but from the Moment of purchase or lease:
- Second-hand petrol/diesel/hybrid or PHEV bought from 2026 → 0% deduction
- Second-hand electric or hydrogen car bought in 2026 → 100% discount (Effective from 2027)
Why electric is (still) the best fiscal choice
Advantages
- No local emissions
- Lower maintenance costs
- Longest tax depreciation period (until 2031)
- Clear and predictable taxation
Points to consider
- Charging infrastructure
- Evolving electricity prices
- Declining deduction percentages after 2026
Classic cars: cheaper to buy, more expensive in the long run
Petrol and diesel cars may sometimes seem attractive due to their price and ease of use, but:
- 0% deductibility from 2026
- Rising CO₂ solidarity contribution
- Stricter environmental regulations (e.g. Brussels LEZ: diesel out by 2030, petrol by 2035)
Conclusion: what is best to do as an entrepreneur?
Will you still be ordering in 2025?
Then you can temporarily still enjoy a (limited) deduction, even for cars with emissions.
Are you looking ahead to 2026 and beyond?
Then they are simple electric cars No Tax-wise logical for your company.
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