Lease or buy new car?

[Lincsman]

All employees get charged for a company car if they can use it for private use.

Vans also if they go home in them i believe.

 

[jcb360]

Vans also if they go home in them i believe.

Commuting is allowed - not taxable.

 

[Lincsman]

Commuting is allowed - not taxable.

Really? so in your own car you cannot claim commuting mileage expenses, but use the company van and have it tax free?... so do mechanics leave their car at work for the week and go home in the van using company fuel?

 

[Derrick Hughes]

Really? so in your own car you cannot claim commuting mileage expenses, but use the company van and have it tax free?... so do mechanics leave their car at work for the week and go home in the van using company fuel?

I would think they are claiming the 50% allowance which will let them more or less do as they please as long as some is business

 

[jcb360]

Really? so in your own car you cannot claim commuting mileage expenses, but use the company van and have it tax free?... so do mechanics leave their car at work for the week and go home in the van using company fuel?

I would think they are claiming the 50% allowance which will let them more or less do as they please as long as some is business

It's all covered in this article:

http://www.autoexpress.co.uk/vans/95798/company-van-tax-understanding-the-2017-rules

The van is tax free if it is used for "insignificant private use".

 

[icanshootwell]

haha i do drive a second farm run about but dont do many miles in that neither.
Live where you work no commute...

Same here, i do about 7k miles a year, thats enough on our roads

 

[Derrick Hughes]

Same here, i do about 7k miles a year, thats enough on our roads

I walk more than that .buy a push bike

 

[icanshootwell]

I walk more than that .buy a push bike

How am i going to pull a stock trailer with a bike I would do more miles on the tractor, thats why i spend more money on the tractor.

 

[Farma Parma]

How am i going to pull a stock trailer with a bike I would do more miles on the tractor, thats why i spend more money on the tractor.

Yep same here Flash Cars do nowt for me even tho i have a sporty Spanish Car of a sort its still a 60+mpg TDI tho.

 

[Farma Parma]

Same here, i do about 7k miles a year, thats enough on our roads

Rural roads are like a third world country around us...
Thankfully the A1 even tho its single track in places is alot better but not perfect

 

[Farma Parma]

I will never but a car out of warranty ever again. these modern things are expensive to repair when they go wrong and the ones I had did that more often than not. take it to a garage and wait for the call. I'm afraid we have some bad news, it's going to cost more than we thought .

You see i would and have done for years...
ran last TDI car for 10years
lost £12.5k in all that time & i did 97,000miles in it.
All it had was service things in the period.
Left me with its original Battery,Brake Discs, Full Exhaust, Alternator,Starter etc etc.
Still has all of that except new battery & its now 13years old past Jan with 115k on

 

[joe soapy]

There is a big con in the leasing.
Your £40000 car will have £8000 of vat in the price.which the leasing company will claim back
Over the course of the lease some will have to be payed back, but still leaving a significant in the companies pocket

 

[Derrick Hughes]

There is a big con in the leasing.
Your £40000 car will have £8000 of vat in the price.which the leasing company will claim back
Over the course of the lease some will have to be payed back, but still leaving a significant in the companies pocket

How can it be a con when you know how much you pay at the start .the biggest con is buying on 0% when it ain't

 

[joe soapy]

How can it be a con when you know how much you pay at the start .the biggest con is buying on 0% when it ain't

The con is where they persuade you that you are getting a great deal whilst actually you are helping them to run off with a slice of the vat

 

[Derrick Hughes]

The con is where they persuade you that you are getting a great deal whilst actually you are helping them to run off with a slice of the vat

No one persuaded me anything. The garages don't give a hoot if you buy or lease .I looked at prices on line and got purchase price and lease from the garage then spoke to my accountant .I am more than happy with my choice and an currently looking at a 2cd car on lease hire

 

[Clive]

There is a big con in the leasing.
Your £40000 car will have £8000 of vat in the price.which the leasing company will claim back
Over the course of the lease some will have to be payed back, but still leaving a significant in the companies pocket

if it were a "con" I'm pretty sure HMRC would be interested

the fact they can quite legitimately and legally reclaim the vat as a hire company is one of the reasons hire often works out cheaper than ownership as the base price of the car is 20% less than you could ever get on a non commercial vehicle yourself - on a 100k range rover or similar thats pretty significant numbers !

 

[joe soapy]

if it were a "con" I'm pretty sure HMRC would be interested

the fact they can quite legitimately and legally reclaim the vat as a hire company is one of the reasons hire often works out cheaper than ownership as the base price of the car is 20% less than you could ever get on a non commercial vehicle yourself - on a 100k range rover or similar thats pretty significant numbers !

As you say , its pretty signifcant numbers, on a private sale the buyer will suffer the depreciating on the vat, with leasing HMRC have to stand it.
Its a huge amount of money over the thousands of cars leased per year

 

[Sonoftheheir]

As you say , its pretty signifcant numbers, on a private sale the buyer will suffer the depreciating on the vat, with leasing HMRC have to stand it.
Its a huge amount of money over the thousands of cars leased per year

Keeps the factories churning out motors though.

 

[Drillman]

I didn't realise there were so many varied and complicated ways to get behind the wheel of a new car.

I've liked the look of the ford Ranger since the new one was launched in 2012. Last year i bit the bullet twisted some dealers arms until i got a price i was happy with part exed the old pickup and threw some cash at it as well and bunged the balance on finance. In 2 years time it's bought and paid for and will still be newish and low miles. Will swap it again if i can afford it. If money is needed elsewhere it can stay for however long it needs to.

Seems the simplist way to me. i like driving it and don't care what anyone else thinks.

 

[Old John]

I didn't realise there were so many varied and complicated ways to get behind the wheel of a new car.

I've liked the look of the ford Ranger since the new one was launched in 2012. Last year i bit the bullet twisted some dealers arms until i got a price i was happy with part exed the old pickup and threw some cash at it as well and bunged the balance on finance. In 2 years time it's bought and paid for and will still be newish and low miles. Will swap it again if i can afford it. If money is needed elsewhere it can stay for however long it needs to.

Seems the simplist way to me. i like driving it and don't care what anyone else thinks.

You can also claim the VAT back as it's a commercial vehicle. If it was a car you couldn't. That's the real difference.this thread stated about getting a new car. As they say let's compare eggs with eggs.
You've also thrown cash at it, which is now not available for other things in the business.