smallfin

my sti 5 is a company car
current tax liabilites, being a high milage user are
£3594 (15%of list)
+£2760 (fuel benefit)
=£6354 x 40% = £2541.6 tax paid
after april 2002, assuming the emmissions are no better than a p1, this goes up to
£8400 + £2760 =£11,160 =£4464 tax
thats an increase from £211 per month to £372 per month
question is are there ways round it?
told you it was a boring question
but would be pleased to hear if any one has any ideas
andy

dba

no.

ARRON BIRD

Do what I`m doing mate and buy it yourself.

rjh

Cos it's an import does it have an approved emmisions figure??? If not tax is based on engine size + will be 25% of list not 35% as it is at the moment (if registered after Jan 98)

Convert to battery power for 9% of list price

Try

Butty

iTrader: (2)

For £372 a month you are still quids in.

If you wanted to run your own Scooby then it would cost about 70 pence per mile (AA figures).
Over an average of 15000 miles p.a. you are looking at £10500, not including unexpected repairs and hassles that are taken out of your hands with a company car.

One way to reduce the tax burden is to have the STi as a pool car, used by several users. I would gladly drive it several times a week to alleviate your tax concerns

Nick

Greg115

I dont fully understand this way but here goes.
There is some way of the company buying the car for you and it becoming your car, without it being a company car. This involves a lease agreement which I think you pay then the company pays you an increased salary to compensate.

I have a friend working for Hydro Electric and this is what they do.

As I say dont really understand the full details but it definitely exists.

Greg

Chris.Palmer

The Inland Revenue approved Fixed Profit Car Scheme (FPCS).

You get an allowance form your employer received as part of your salary (& hence taxable at the appropriate rates).

You buy and own, hire purchase, or lease the car yourself in your own name.

There is No Company Car Tax or Fuel Tax.

All business mileage should be reclaimed from your company using the Inland Revenues prescribed rates (if not at IR rates you can claim tax relief or pay extra obviously!)

If you take out a loan to purchase the car you can claim tax relief on this too (as a percentage of business to personal mileage).

Check out IR web site

smallfin

many thanks for the replys guys,

rjh,
cheers mate i'd read that page but got fed up before i reached the relivent bit!!and just assumed it would be no better than a p1 which is 35%,next time i won't be so impatient
butty,
those figures per mile are irrelivent when you do 55,000 miles/year i reckon mine will be near to 35p per mile.
chris/greg
i assume your both talking about the same scheme i'll look into that one!
once again thanks for the info

John Catlin

If you make a loss either with a Company car, some Companies only allow you to claim fuel at a set amount, this is normally based on 30 mpg and in reality it does 20 mpg you can claim the tax back. But at the same time you will have to prove it,

polarbearit

If the company is you own (and based at home) then there is a way of avoiding company car tax altogher, you need to keep the car as an executive pool car, this only works if you can say the car stays at the company head office over night (ie not used as a 'personal' car) but means that literally all your expenses can be paid by the company with no tax liability.

Jon

dba

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:<HR>Originally posted by John Catlin:
<B>If you make a loss either with a Company car, some Companies only allow you to claim fuel at a set amount, this is normally based on 30 mpg and in reality it does 20 mpg you can claim the tax back. But at the same time you will have to prove it,[/quote]

true,I claim 11p p/m back off comp and 34p back off tax man.Ihe big advantage with a comp car is the fuel card if you are doing 20k plus.

the only prob with the FPCS is you will pay tax at the higher rate plus national insurance contributions ie a high rate tax payer will lose half the allowance in tax.You offset that against the biggest factor in private ownership which is depreciation.

Worth looking at all options.