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Company car and reasonable use

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    #11
    Originally posted by parallelmonogamist View Post
    I'm familiar with the technical aspects of getting a company car, as a PSC.

    What I'm unsure about is the possibility of HMRC taking a dim view of possibly taking the p1ss.

    Scenario 1: The company buys a Tesla for me, despite perhaps not really needing to drive anywhere for work at the moment. Any risk in this?
    Scenario 2: The company buys my wife one as well? She's doing the standard PSC admin work. Expect a knock on the door?
    Scenario 3: Company sells the Tesla at "We buy any car" quoted price, then buys another one soon after. Having a laugh yet?
    Scenario 4: Company does the same every year. Will the director find his legs in irons?

    This is purely hypothetical of course and I wouldn't dream of doing scenario 4, but it would be good to get a steer on possible difficulties with Hector.

    (I do have an accountant, based in Brighton, but they're not very helpful.)

    thanks.
    Well it was good for a laugh! I thought it was a serious set of questions until I read number 2. Who on earth thinks buying a 40+ grand car for wifey, who just does 'standard PSC work' via the company, is legit? Why would anyone want to sell at 'WBAC' price except to introduce an artificial loss?

    Pass the popcorn. This should be in General methinks.

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      #12
      Originally posted by TheDogsNads View Post

      Well it was good for a laugh! I thought it was a serious set of questions until I read number 2. Who on earth thinks buying a 40+ grand car for wifey, who just does 'standard PSC work' via the company, is legit? Why would anyone want to sell at 'WBAC' price except to introduce an artificial loss?

      Pass the popcorn. This should be in General methinks.
      to be fair WBAC prices are often just fine. It all depends if there's more wrong in the car than the agent can spot.
      I've taken them to cleaners with a Range Rover. They think they knocked me down £2k, but actually they still paid £1.5k too much for it.

      See You Next Tuesday

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        #13
        Originally posted by Lance View Post

        to be fair WBAC prices are often just fine. It all depends if there's more wrong in the car than the agent can spot.
        I've taken them to cleaners with a Range Rover. They think they knocked me down £2k, but actually they still paid £1.5k too much for it.
        this. i bought a bike from a dealer, and sold it to WBAB two years later for 2k more than i paid.
        happy days.
        NOOOOO!! - not the Blue wire!!

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          #14
          Originally posted by jainnode View Post

          this. i bought a bike from a dealer, and sold it to WBAB two years later for 2k more than i paid.
          happy days.
          Course you did.
          'CUK forum personality of 2011 - Winner - Yes really!!!!

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            #15
            Originally posted by northernladuk View Post

            Course you did.
            yep.
            NOOOOO!! - not the Blue wire!!

            Comment


              #16
              Originally posted by northernladuk View Post

              Course you did.
              I can understand it with bikes...
              merely at clientco for the entertainment

              Comment


                #17
                Originally posted by eek View Post

                I can understand it with bikes...
                I could understand it if anyone else had posted it.
                'CUK forum personality of 2011 - Winner - Yes really!!!!

                Comment


                  #18
                  Originally posted by northernladuk View Post

                  I could understand it if my accountant had posted it.
                  ftfy
                  NOOOOO!! - not the Blue wire!!

                  Comment


                    #19
                    Originally posted by cannon999 View Post
                    Why on earth would you buy an electric car? BIK tax is currently pretty much free on electric vehicles. Just lease the company car and enjoy the Tesla legally. Buying electric cars is pointless anyway - they will lose value quickly as the batteries are getting better all the time. I am currently leasing an electric car at roughly £250/month. It hits the pocket at roughly £125/month so pretty much 50% off. And doing that means that you will also have your company pay for insurance etc etc.
                    Depends on the car. My last one I lost £1k over a year of ownership. This is for a car you pay £1k a month to lease.

                    Comment


                      #20
                      Oooh company car chat and electric/BIK. Current car is 13 years old, 120k on the clock. I've been looking at leasing a RAV4 - need a reasonable sized boot. Accountant said don't bother with that as a company car and then pointed out BIK for full EV is frozen at the 1% band next tax year and 2% until 2025. So I started looking at EVs, I don't think I'll get range anxiety so it opened up a few options... I then did all the other calculations (assuming 10000 miles a year - fuel, insurance, servicing) and I think I figured it all out, but an e-tron or an EQC comes out at only about £50 a month more than the RAV4 privately. A Kia E Niro is massively cheaper - but I think the UK allocation of those is used up. I compared it to the fancy 'Dynamic' RAV 4 to get it past the powers that be.
                      Just waiting to see if I can get a tow hook on it...

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