We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Would it be foolish to pay for a vehicle before delivery?

Options
Deastons
Deastons Posts: 464 Forumite
in Motoring
I have a new work vehicle on order, being delivered in January. My company year end is December. Paying for it this month would be good for my tax bill, but is this even possible/a good idea?
«1

Comments

  • Car_54
    Car_54 Posts: 8,837 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    It isn't a good idea - car dealerships occasionally go bust.
    In any case, whether you pay in December or January, it's in the same tax year (ending 5th April).

    But don't you have an accountant to answer questions like this?
  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    Car_54 wrote: »
    In any case, whether you pay in December or January, it's in the same tax year (ending 5th April).
    Not if the company's FY end is 31/12 - it'll move the transaction from this FY to next.
  • motorguy
    motorguy Posts: 22,611 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    AdrianC wrote: »
    Not if the company's FY end is 31/12 - it'll move the transaction from this FY to next.

    +1

    My company's FY end is 31st Dec.
  • loskie
    loskie Posts: 1,761 Forumite
    Part of the Furniture 1,000 Posts
    If you pay for it and then there is damage you have little or no leverage to get it sorted satisfactorily
  • Supersonos
    Supersonos Posts: 1,080 Forumite
    1,000 Posts Third Anniversary Name Dropper
    Car_54 wrote: »
    whether you pay in December or January, it's in the same tax year (ending 5th April).

    But don't you have an accountant to answer questions like this?

    My year ends 31/12.

    And my accountant is a bit rubbish! Asked her this several days ago and still no reply.
  • Supersonos
    Supersonos Posts: 1,080 Forumite
    1,000 Posts Third Anniversary Name Dropper
    loskie wrote: »
    If you pay for it and then there is damage you have little or no leverage to get it sorted satisfactorily

    Very good point.
  • Belenus
    Belenus Posts: 2,755 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    Deastons wrote: »
    I have a new work vehicle on order, being delivered in January. My company year end is December. Paying for it this month would be good for my tax bill, but is this even possible/a good idea?
    Supersonos wrote: »
    My year ends 31/12.

    And my accountant is a bit rubbish! Asked her this several days ago and still no reply.
    Supersonos wrote: »
    Very good point.

    Are you the same person?
    A man walked into a car showroom.
    He said to the salesman, “My wife would like to talk to you about the Volkswagen Golf in the showroom window.”
    Salesman said, “We haven't got a Volkswagen Golf in the showroom window.”
    The man replied, “You have now mate".
  • photome
    photome Posts: 16,660 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Bake Off Boss!
    Belenus wrote: »
    Are you the same person?


    looks like someone slipped up.


    would make sense given their posting style
  • Mistral001
    Mistral001 Posts: 5,428 Forumite
    Part of the Furniture 1,000 Posts Name Dropper I've been Money Tipped!
    This could be one for the business forum.

    As far as I can see this is a capital expense meaning that you will spread the expense over several years.
  • LandyAndy
    LandyAndy Posts: 26,377 Forumite
    Part of the Furniture 10,000 Posts
    Mistral001 wrote: »
    This could be one for the business forum.

    As far as I can see this is a capital expense meaning that you will spread the expense over several years.

    Not if it is a van.
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.
Update Your Picture