Company Car Q's

[kermitt]

Hi folks, am looking into getting myself a diesel company car because I do alot of business miles and have some questions I am hoping you can help with.

1) If you buy a 2nd hand car is the P11D value still based upon the new list price for the vehicle in question or is it calculated on the sticker price on the car at the time of buying?

My accountant seems to think its based upon the latter but is not sure, is he correct? I don't really want to buy a new car because of the depreciation etc.

2) What is the effect if the car is more than 4 years old i.e. 55 plate or older?

Thanks.

[Sockpuppet]

1) Yes. LIst price.
2) Dunno. At a certain point it changed to being based on emissions.

[Clippy]

Hi folks, am looking into getting myself a diesel company car because I do alot of business miles and have some questions I am hoping you can help with.

1) If you buy a 2nd hand car is the P11D value still based upon the new list price for the vehicle in question or is it calculated on the sticker price on the car at the time of buying?

My accountant seems to think its based upon the latter but is not sure, is he correct? I don't really want to buy a new car because of the depreciation etc.

2) What is the effect if the car is more than 4 years old i.e. 55 plate or older?

Thanks.

[northernladuk]

LOL Clippy thats what I thought....

Didn't you ask a question like this ages ago Sockpuppet? The general feeling is no it doesn't work and not worth doing but it did depend on a whole host of circumstances.

Below are a load of links to other threads based on this topic. If you need more you can do a search using the word car in the Subject field only. Loads of topics on leasing options, buying etc...

Link 1

Link 2

Link 3

and so on....
HTH

[Paddy]

Co2 levels are taken into account for taxation.

It used to be the case that if you paid yourself minimum wage; there would also be no company car tax.

These days I don't bother and just claim mileage allowance.

[kermitt]

Thanks for the info guys, I have been claiming mileage for the last year but went over the 10k @40p months ago and don't consider it viable to continue in that way becasue I have a BMW 330 petrol. Also I rent a flat as secondary accom close to my work but only use it 3 or 4 days a week. Its not cheap and most places near where I work are similarly priced anyway.

Am not interested in leasing etc or having a van/pickup so the links posted above did not assist much.

I have already performed a seach on here regarding company cars and had not found the answers to my questions hence the thread.

The reason was I was considering buying something like an '53 passat tdi or similar and burning the miles away using that instead of the BMW and let the company pick up the tab instead of renting secondary accommodation and claiming mileage as I already do. This would save me and my ltd company alot of money. My intention is to use this saving to increase my deposit against a new house.

However if I pay 3k for a car older than 4 years that is then taxed on the basis that when new it cost £20k + then there is no point as I would be paying more in taxes every year than the car is worth.

[Hiram King Of Tyre]

For me, the only viable options are to buy a van/pick up, a really green car or a company motorbike. I think that having a vintage car is also worth looking at but probably not practical

[The_Equalizer]

What about company Q cars? I'll start with:

Mercedes C 63 AMG

[Olly]

How does having a company bike stack up then?
details pretty please

[Churchill]

For me, the only viable options are to buy a van/pick up, a really green car or a company motorbike. I think that having a vintage car is also worth looking at but probably not practical

I thought the "original purchase price" rule had been changed. Could be wrong though.