Westfield as a company car

[TAFKARM]

I didn’t say it’s fraud, I asked if it was fraud. You can tell because I used a question mark. 

[ianali]

4 minutes ago, Rush Motorspurt said:

I didn’t say it’s fraud, I asked if it was fraud. You can tell because I used a question mark. 

Sorry if i caused offence. I was also asking the question, only from the opposite side. 

[Somerset Jim]

Certainly not fraud as my personal income tax would increase by the “benefit” I had accrued when not using it for company business. 
Whilst used for company business it is a depreciable asset like laptops, mobiles, furniture etc.

I asked the question because although I understand how other cars are treated, with no official list price and no official emissions info, I can’t find any way of working out the personal tax implications. 
Accountant call tomorrow. 

[Ewan]

I met a chap, 20 years ago, that used his then new Lambo Diablo as a company car, delivering eels. So stranger things than a Westy have need okayed as company cars.

[stephenh]

Don't see how or why it would be a fraud on the revenue. The tax regime these days for company cars is such that unless you do a high business mileage (over 18,000 miles a year I think) many people are better off not having a company car and getting an allowance for supplying your own car from your own resources, and claiming tax free mileage based expenses for business use, particularly higher rate tax payers. My son-in-law does a fairly high business mileage, but even so because the tax is so much higher if you have a company car with free private use, he finds it much better to won his own car, claim for traveling expenses from the company, and pay less tax to the revenue. 

[XTR2Turbo]

There are clear rules for cars over 15 years / classic cars.

 

https://www.jsca.co.uk/how-about-a-classic-car-as-your-company-car/

 

[Somerset Jim]

Thanks Turbo (not the fat one in Outback Truckers I assume) 😀

 

That's exactly what I was after - so once I pick a car (2.0L or less) and assuming it's worth less than £15,000, the personal tax implications would seem to be 31% of the list price.

 

Anyone got a history of Westfield kit list prices from mid 90s? I'll have to make some assumptions on donor car and various other parts.   

[Howsafe Workwear and Safety Equipment]

Sounds like fun and torture in equal measures 😁

 

I don't think a new one would make any sense to have as a company car but as per David's link, maybe running an older Westfield might be worth a look

 

I have been plug in hybrid (four vehicles) for the last 6+ years and I have been impressed (apart from my current X45e, but we wont go there)

 

 

[Alan Cutler (Adge) - Dorset AO]

10 minutes ago, Somerset Jim said:

Anyone got a history of Westfield kit list prices from mid 90s

Some price lists in the “Downloads” section.

[Somerset Jim]

Thanks Adge - that's brilliant. Think there's enough in there for some calculations.

 

That's justified my membership fees already!

 

I've also emailed Westfield direct this morning so whatever they give me I'll upload as well. 

[Andy - a15cro]

When I was considering a Westfield, I tried to persuade the accountant that because it was the same colour as my company logo I could put it through as advertising and marketing! Add a couple of stickers and take photographs of it.......They quickly killed that idea!

[jeff oakley]

Pool car might be better? Or fit a rack on the roll bar and delivery vehicle it is.

 

A mate of mine has his quad bike on his company as his emergency winter vehicle, he is a plumber.

[Michael Whitworth]

I haven't read all the posts yet But do what I do, Put some company stickers on it and do a couple (or more) track days a year and put it down to marketing/sponsorship. The company can legitimately pay the running costs too.

[Alan France]

The rules have changed so many times over the years I’m not sure a fully funded company car works unless you do a very high mileage.
 

When I got my first in 1979 it was a massive financial benefit, my Cortina auto was taxed according to Grand Metropolitan rules. Private miles fixed at 400 for the month, the rest paid at a crazy pence per mile so us high mileage people made quite a lot of profit each month, and enjoyed a new fully funded car every 18 months. On holiday the same rules applied, achieve the 400 close to Paris on the drive to the med and the rest was profit. The more you travelled the more you made. Colleagues would take their kids from West London to Blackpool to see the lights for the evening and make a packet.

 

Now most low to medium mileage staff usually take a car allowance instead.

[Somerset Jim]

Initial response from accountant is positive!

The reducing benefit of company cars is only for newish ones - older ones (15 years plus) are treated differently so remain an efficient way of utilising company money (that isn't earning interest anyway). 

Company will buy, insure, tax and maintain - I'll just add petrol for personal use and pay extra income tax on any personal miles based on original list price (£4,000 ish) and engine size. Some Capital Gains implications if it were to rocket in value and I sold it - but no plans to do that at present. 

 

Just got to find a car that suits now and then ask the CEO (which is me 😀) for approval.