Brought new van for plastering am self employed where does this go in capital gains o

maifl0wer

Husband is a plasterer, he purchased a van from vauxhall brand new costing £12332 inc vat 28/08/2008 pays by instalments now here's where i am stuck
do i put in cost of van in AIA of tax return at £12332 or do i put it in cars over 12000 and claim 20% restricted to £3000 allowance at 80% (i don't drive he has another car but he has driven to put in Diesel at sainsbury whilst popping in there so i thought 80% business please correct me if i am wrong) so i would put in £2400 in other capital gains box ?? any advice will help

thanks

Ste_C

It's not a car - it's a van. Regardless of the cost being over 12,000 it's still a van.

Think you can still put a private use percentage in though if you wish.

Mary_Hartnell

Was it credit purchase?
Does he actually own the van?
How much profit does he make?
What dates are his trading year (probably 06 April to 05 April ?
A van is a tool of his trade?
He was on his way home from his job at a site expected to last less than 2 years? when he stopped at the supermarket? Otherwise he would have used his own car?

It sounds very like this posting to me?
http://forums.moneysavingexpert.com/showthread.html?t=1620809
I think I would go onto the HMRC site and get further details of the new same year tax write off?

fubar4164

Hiya,

Think you may be getting a bit confused on this, but then again this is not my forte either.

If you want you can claim the entire amount in AIA, provided you don't exceed the annual amount. Ignore the expensive car aspect, it's not a car.

If you want to restrict it to 80% business use, then the remaining 20% doesn't go in capital gains. There is no capital gain here, that only arises when an asset is disposed of and doesn't apply to machines anyway. I think (from memory) that you would simply put the 80% value in as the claim, but I could be wrong on that.