Anyone who calculates what a private car costs will be pleased by the advantages a company car offers. Depending on the industry you work in a company car is considered as a salary component no matter whether it is needed for the job or not.
Of course sales representatives must have a company car to do their job. Depending on the position you have in you company there are different levels of company cars. Members of the management can select luxury cars, managers can select cars of the upper middle class and workers without management function can use lower middle class cars. You see that the company car is kind of a status symbol in the internal company structure.
It is quite a different topic in the public service.
The staff can choose out of a pool of company cars and vehicles, depending on what is necessary in the current situation. Only employees with an essential need of a car and the administration staff have their personal car.
There are strict regulations for what purpose you are allowed to use this car ensuring that there are no excessive private trips made with an official car.
As already mentioned there are personal company cars that can be used for private purposes, a salary component. Therefore, they represent a cash benefit that has to be be taxed. This also includes trips with company cars from home to work. As these trips are a monetary advantage they have to be taxed too.
The monthly taxes that have to be payed for a car with an original price of 20,000 euros add up to 1% of the original valule. 200 euros in this case. It should also be considered finding a cheap insurance for the company car. It is always worth it.