Company Car help please!

ntb1

Would suggest you go to your lease co and see what deals are about. If you're felixable you can get some crackers.

Credit-Crunched

As mentioned, if you are on a company car scheme then your employer will deal with a least company.

Please don't think this is patronising, but here is a step by step guide to what you should do.

1. Contact your employer and find out their lease company details

2. Contact the lease company and ask what cars are available on your budget, you can negotiate with times

3. See if one of your local Audi/BMW/ VW dealers work with the lease company on a regular basis (mine did)

4. If they do, contact the showroom and ask for the commercial sales director. Then meet with them, tell your budget and see what they can do (ex showroom cars are great, they need to shift them and they generally have all the kit on them)

5. Tax is where company cars differ to car allowances

The P11d value of the car is taken and then a % depending on C02 emissions is taken off your personal allowance.

This is becoming ever harsher with % values increasing over the next 3 tax years

http://www.hmrc.gov.uk/cars/rule-changes.htm


Example

VW Golf £20,000 - using HMRC table Benefit in Kind (BIK) value is 15%

= £3,000 (15% of £20k)

Therefore, assuming no furthre P11d benefits

your personal allowance of £9,440 will be reduced by £3k

So your nil rate tax band will be £6,400 - anything above that will be 20% (again assuming you are not HRT)

Depending on how many miles you do, wear and tear, etc company cars can be better.

I personally take the allowance as I like my personal allowance free and I do so many miles i claim back a large tax rebate via a P87 form each tax year.

Hope this is not too confusing!

PS

The Audi A3 Sline new model is stunning to drive! A little hard, but beautiful!