Annual Lease Value Table for Employer-Provided Autos »

Apply to:

Value the personal use of employer-provided autos. Multiply the table value by the personal-use percentage (based on allocation of personal and business miles driven) when the annual lease value method is selected by the employer to value the fringe benefit. The product of the personal-use percentage, the portion of the year the car was provided to the employee, and the annual lease value (based on the FMV of the car) must be included in the employee's gross income as wages subject to FICA. Employer can elect to not withhold FIT.

Limitations:

The FMV of the vehicle when first provided to the employee is used to determine the annual lease value for each of the first four years of use by an employee. In the fifth year that the vehicle is used, the FMV is redetermined, and a new annual lease value is calculated from the table. That redetermined value is then used for the second four-year period.

 Automobile Fair Market Value

Annual Lease Value

$0 to 999

600

1,000 to 1,999

850

2,000 to 2,999

1,100

3,000 to 3,999

1,350

4,000 to 4,999

1,600

5,000 to 5,999

1,850

6,000 to 6,999

2,100

7,000 to 7,999

2,350

8,000 to 8,999

2,600

9,000 to 9,999

2,850

10,000 to 10,999

3,100

11,000 to 11,999

3,350

12,000 to 12,999

3,600

13,000 to 13,999

3,850

14,000 to 14,999

4,100

15,000 to 15,999

4,350

16,000 to 16,999

4,600

17,000 to 17,999

4,850

18,000 to 18,999

5,100

19,000 to 19,999

5,350

20,000 to 20,999

5,600

21,000 to 21,999

5,850

22,000 to 22,999

6,100

23,000 to 23,999

6,350

24,000 to 24,999

6,600

25,000 to 25,999

6,850

26,000 to 27,999

7,250

28,000 to 29,999

7,750

30,000 to 31,999

8,250

32,000 to 33,999

8,750

34,000 to 35,999

9,250

36,000 to 37,999

9,750

38,000 to 39,999

10,250

40,000 to 41,999

10,750

42,000 to 43,999

11,250

44,000 to 45,999

11,750

46,000 to 47,999

12,250

48,000 to 49,999

12,750

50,000 to 51,999

13,250

52,000 to 53,999

13,750

54,000 to 55,999

14,250

56,000 to 57,999

14,750

58,000 to 59,999

15,250

For vehicles having a FMV in excess of $59,999, the annual leave value is equal to (.25 x the FMV of the car) + 500.

Return to the Fringe Benefit Compensation Worksheet for Employer-Provided Automobiles.

Return to Automobile Fringe Benefit section 3.8.B "Annual Lease Value"

Return to Appendix A