Company Van tax

lagi

I have been given a form to sign from my company and have the choice of private use or not.
I have looked up the taxable amount and it says £3000.

I do not have a vehicle and live alone so would be handy to be able to use it anytime but just wondered how much this would equate to on a monthly basis?

Do you think the company is just following procedure and nothing is likely to change or is private use something i need to consider?

Bean_Counter

Private use is something you definitely need to consider. What is situation with fuel as that could add an extra £550 to the taxable benefit.

However to put it into context, the tax bill equates to about £13.65 per week. If you the transport, you need to weigh up the tax bill with how cheaply you can own and run a vehicle on your own.

lagi

I would have to pay my own fuel. I wouldn't run a vehicle of my own. I do unscociable hours and a lot of driving so it wouldn't be a pleasure to drive any more.
But obviously there a few times when i need to get some shopping or pick something up which i can normally do anyway.
Thanks, at least i have a figure now to think about plus fuel.

Bean_Counter

lagi wrote: »

I would have to pay my own fuel.

If you are paying for your own fuel, the tax cost would be £11.54 per week, assuming that you are a basic rate tax payer.

lagi

Thanks, cheaper but for the little bit extra would be nicer to have free fuel.

John_Pierpoint

Driving to and from work in the van is not (usually) private use but going shopping/fishing in it is.
There have been several other threads on this topic on here that you should be able to find by searching.
It is a bit of a grey area in practice,

sunshinetours

Very occassional incidental use normally wouldn't be caught under private useage as John above alludes to - ask your company to get a view from their company accountants?

John_Pierpoint

http://www.hmrc.gov.uk/vans/vans-info.pdf