I can recommend a defender hardtop, if three seats is enough. The top end pickups are just as expensive now.
Crew cab pickups to be taxed as cars from July
- Thread starter beltbreaker
- Start date
- Location
- South West
It’s not a single cab it still has seats in the back so is classed as a twin cab. Same tax rules apply. Only way round it is a proper single cab. Although I’m not sure on the classification of ‘car dervived vans’ such as disco / defender commercials .
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TheRanger
Member
- Location
- SW Scotland
Three seats would be useful on occasion here. What else on the market can off that?
essex man
Member
- Location
- colchester
Presumably there will be a spike in demand pre rule change which will exaserbate the fall off afterwards.
- Location
- South West
From what I can tell the car derived van isn’t being affected so plenty more disco / defender commercials will be sold id imagine.
to be fair I got my disco for £9k more than a Ford ranger spec to the same level. And that was when LR were playing silly buggers with there pricing, I can imagine the gap being allot smaller now…!
- Location
- Bury St Edmunds, Suffolk
Not much bar a Berlingo van or Transit etc
Shame bench seats went West and double passenger seats not common anymore
essex man
Member
- Location
- colchester
So the pickup industry will not lobby against this for now, as will enjoy the spike in demand, then lobby for a reversal in 2025
Cowabunga
Member
- Location
- Ceredigion,Wales
Nothing. It’s that simple.
Cowabunga
Member
- Location
- Ceredigion,Wales
I do not believe that your interpretation is correct. Or that the article’s interpretation is necessarily correct for that matter. What the article says isLooking into this further, it will actually have an effect on self employed farmers.
VAT can still be reclaimed on the purchase price of a new double cab pickup. 100% if 100% business use, 80% if 80% business use, etc - as is the case currently.
But double cab pickups will now be classified as cars for capital allowance purposes, so instead of being able to offset 100% of the purchase cost against tax in year 1, you'll only be able to offset 6% per year. Which is actually quite a big hit?
HMRC's U-turn on Tax Treatment of Double Cab Pick Ups
HMRC announced a reversal to its recent guidance on the treatment of double cab pickups (DCPUs) from 1 July 2024.www.moore.co.uk
I always quite liked the extended cab pickups, does anyone know if they are classed as double cabs or single cabs for tax purposes? I'd assume single cab as the rear is a bench seat? They might become more common now if so.
Impact on VAT
HMRC have not amended the definition of a van for VAT purposes. A van for VAT purposes continues to be a vehicle with a payload over one tonne.
The VAT on purchase of a van can be reclaimed if it is supplied to a VAT registered business and it is used for the purposes of their business. HMRC view any incidental private use of commercial vehicles as de-minimis.
If the intended use of the van is for private purposes over the de-minimis threshold, then the full amount of VAT incurred would not be reclaimable and it would need to be apportioned.
Effect on Capital Allowances
HMRC have not commented on the effect of this classification for capital allowance purposes. The definition for capital allowances follows that of employment tax and therefore, it would be expected that HMRC will consider double cab pickups as cars for capital allowance purposes from 1 July 2024. The effect of this is that a capital allowance claim will be restricted from 100% relief in the year of purchase to 6% relief every year.
Except that it doesn’t. They are separate. Just as the classification for road tax may differ for a single vehicle. A primary example is the Ineos Grenadier which is classified as a car by HMRC but as a commercial vehicle in some variants by the DVLA. HMRC have only commented and ruled upon the tax on the employee’s private use thus far and, in blue above, it is confirmed that the VAT status remains as for a commercial vehicle . There is no change unemployment tax [BIK] for the self employed or for pool vehicles.
TheRanger
Member
- Location
- SW Scotland
HMRC have commented on it. Read my following post.
Punch
Member
- Location
- Warwickshire
Ol‘ Bill will only catch you if you don’t have correct insurance.
Just get the right cover and you’ll be ok.
Skimp and don’t pay the premiums, you should expect to have the book thrown at you.
Exfarmer
Member
- Location
- Bury St Edmunds
Had a meeting this morning with someone from another industry. He turned up in a top of the range Ranger . I asked him if he had heard about this furore, he replied no, but it would not affect him as he never used his truck for private work. I laughed as I pointed out his seating was most unusual or did he employ child labour 
- Location
- South West
That’s what will happen, and exactly what I do. My disco is for work only! But I might have to go for a work trip to Cornwall for a week or call in for supplies for the office in Sainsbury’s.Had a meeting this morning with someone from another industry. He turned up in a top of the range Ranger . I asked him if he had heard about this furore, he replied no, but it would not affect him as he never used his truck for private work. I laughed as I pointed out his seating was most unusual or did he employ child labour
Funny Farmer
Member
I think the key is having a privately owned vehicle available for your personal use that you can point to if asked the question.
paul&mandy
Member
- Location
- surrey/west sussex
I'm confused. X2 pickups. Husband and wife business partnership contract shepherding and ag contracting. Will this effect us? They are the only vehicles we have and don't want or need another. My Isuzu has just turned 5yrs old at 25k on the clock. They both have canopy's on. 1 fitted out with dog partions the other a fuel tank in back.
Can we still use these for local school run and shopping days out etc? Have 2 young kids, had a car and the dust from the dogs effected our youngest.
Does this mean we have to have a car for private use?
Can we still use these for local school run and shopping days out etc? Have 2 young kids, had a car and the dust from the dogs effected our youngest.
Does this mean we have to have a car for private use?
- Location
- South West
Do you currently pay any benefit in kind tax and declare the fact you use it personally?
I’m suspecting you don’t so don’t worry and carry on as you are. you only use your trucks for Buisness remember!
essex man
Member
- Location
- colchester
When you replace them, you will not be able to do the same as you previously did , in terms of capital allowances
paul&mandy
Member
- Location
- surrey/west sussex
If I swap 1 of them this tax year. Was only thinking about it the other day as Ive seen an in stock Isuzu. Would that create a problem?
paul&mandy
Member
- Location
- surrey/west sussex
No, so kids got to walk now then? Joking obviously. So to be correct we need another vehicle for such uses or pay benefit in kind in the tiny milage we do? Everyone always jokes the small milage we do on trucks but tractors and gators do far far more.