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Previously on "What is the tax liability for a company motorcycle?"
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Originally posted by Hiram King Of Tyre View PostOK so lets say the bike (inc clothing) costs £8812.50 inc vat and the annual running costs are £1000, is this correct:
Bike price ex vat £7,500.00
Bike price inc vat £8,812.50
Servicing Tax Ins spares etc £1,000.00
Cost to company for BIK £9,812.50
NI payable by co £211.50
BIK £1,762.50
Tax payable @ 22% £387.75
Tax payable @ 40% £705.00
The company reclaims £1312.50 Vat
Now if that is right:
Do the figures change if say I do 3000 business miles and 2000 private miles?
Does the company pay for the petrol and how does that affect tax liability?
If I pay the petrol, do I then claim for business miles (like you would in a company supplied car?)
If I pay salary and divvies up to say just below the 40% threashold, is the BIK assessed at 22% (my highest tax rate) or does the BIK get added to my salary and therefore charged at 40%?
Good question, and one which I would like to get the answer to ....
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Originally posted by Wanderer View PostDid you get an answer to this question?
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I'm not aware that anything has changed and am still running my company bike.
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Originally posted by northernladuk View PostToo busy shaking my head thinking WTF???? and why??? to even bother thinking about anything sarcastic
How's that ?? lol
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would be v interested to hear the answers though.
just bought a new bike...suppose I could sell it to company.
fancy a bit of a stable so may buy another.
is there anything interesting re: depreciation of the bike?
flat rate VAT but I guess since over 2K that could be reclaimed
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Too busy shaking my head thinking WTF???? and why??? to even bother thinking about anything sarcastic
How's that ?? lolLast edited by northernladuk; 18 March 2010, 12:01.
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A bump to this thread - has anything changed since this thread 3 years ago?
I found this little ditty, http://www.taxationweb.co.uk/forum/c...ns-t12063.html which doesn't seem to contradict this thread.
Another thing - If I'm over the 2 year limit on expenses, does a bike become 100% BIK?
Just getting an idea before I ask the accountant...
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I just phoned HMRC, they tried to tell me that 100% of the bike is considered BIK in yr one and that is it! Surely not, it's not my bike!
They've gone away to find out......
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Originally posted by adart View PostI've heard that another "advantage" of putting a bike (or a car) through ltd co makes motoring offences particularly speeding tickets more difficult for the law to chase up if they cannot identify a named driver and only have a ltd co name at an anonymous registered address to work with. Depends on your ethics I suppose.
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