Buying your car through your business

This week's episode of, I hate numbers is talking about Buying your car through your business. Check out last week's episode where we talked about saving tax with company benefits. tax-free and trivial benefitsWhat is a company car?This is a car bought by your company, you use it for business and personal use. By the way, driving between home and work is normally considered personal use.Working out the Benefit ValueThere are three key numbers that we consider when looking at Buying your car through your businessHow the car is poweredThe list price of that vehicleCO2 emissions of that car.Listen to find out moreCO2 emissions and taxThe lower, the CO2 emissions of the car, then the lower, the resulting tax charge will be.An electric vehicle has no emissions, that means a tax-free benefit. Now when it comes to hybrid cars, these also have a favourable tax treatment.Listen to find out moreContributing towards the carThere could be a number of reasons for this. It could be that you decide to go through it, another vehicle, which your employer can't afford. And you may be that employer if it's your company. The advantage of making a capital contribution is tax savings for both you and the company.Listen to find out moreAn alternativeIt may not be to not bother buying the car and for you as the individual to purchase the car in your personal capacity. If you do that, then you have the option of charging your business, charging the company, 45 Pence per mile for each business model that you travel. Once you go over the 10,000 miles, then you can charge 25p. That can be claimed tax-free it counts as a deduction for the company. And, therefore it may be worthwhile to consider that option as well.Listen to find out moreConclusionIn conclusion, providing a company car, especially an electric or hybrid car can save a lot of tax, personally and for your business. It can even be cheaper than having higher salary.Your business needs to grow, serve and make money. Buying your car through your business can be a great pay you and your staff efficiently. Contact us to talk about this or other ways where we can help your business.NumbersWhat would a I Hate Numbers podcast be like without some Numbers ![table id=17 /][table id=14 /]What NextMake yourself comfortable. Sit back and listen.Even better subscribe so you do not miss an episode.In This EpisodeUnderstanding how we work out the benefit value of accompany carAppreciate why buying an electric or hybrid car is good for your pocket, as well as the environmentWhy you might be better off buying your own carDeveloping your own Numbers confidence and decisionsTake more control of your numbers to help make you money, survive and thriveLinkshttps://podcasts.apple.com/podcast/proactiveresolutionss-podcast/id1500471288https://play.google.com/music/m/I3pvpztpjvjw6yrw2kctmtyckam?t=I_Hate_Numbershttps://open.spotify.com/show/5lKjqgbYaxnIAoTeK0zinshttps://www.stitcher.com/podcast/proactiveresolutionss-podcasthttps://tunein.com/podcasts/Business–Economics-Podcasts/I-Hate-Numbers-p1298505/