Company car tax

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I would go for the allowance, buy or lease a car and claim the 45p a mile.
Will he be able to claim the full allowance though? I thought if you had either a car or allowance you could only claim the lower amount.

“They” didn’t tell her? Her tax affairs are her own.
I got stung for six months worth when i first had a co car. Payroll were useless and ended up paying a de ent wedge back the following year.
 
As said, the tax is worked out based on list price / emissions, most manufacturers will show you the P11D value so you can work out what you’re paying.

It’s not so straightforward to decide:
If you take the company car you’ll pay tax at about £100 a month on something middle of the road (without fuel). That covers your mileage, servicing, repairs, VED, insurance etc. Hassle free but no ownership. You’ll be able to claim between 8-12p per mile to cover fuel at statutory rate.

An allowance gives you ownership but you’ll need to find a deposit for the car, you’ll be taxed on the allowance and you’ll have to cover VED, insurance, repairs, servicing etc. If it’s off the road you’ll get grief from your employer. If you’re doing high mileage it’ll be worth SFA in a few years. You’ll be able to claim 40-45p a mile.
 
Will he be able to claim the full allowance though? I thought if you had either a car or allowance you could only claim the lower amount.


I got stung for six months worth when i first had a co car. Payroll were useless and ended up paying a de ent wedge back the following year.

Whenever I’ve had a company car I’ve told the inland revenue myself to save surprises
 
Whenever I’ve had a company car I’ve told the inland revenue myself to save surprises
Agreed with hindsight but at the time i was young and stupid and thought "great i'm not paying for this!" I now know this to be foolish as the fuckers always catch up with you at some point!

Mind you even when you do tell the fuckers exactly on the day a new car arrives they still manage to fuck it up and muggins always ends up paying. Mind you i did sting them for £1500 one year which paid for a nice little jaunt to Ibiza :cool::lol:
 
its really easy.

whats your take home pay with cash allowance minus the monthly cost of buying and running one plus residual value. whats your take home pay with a company car factoring in fuel either via card or allowance.

do whats cheapest.

if you are doing stacks of business miles factor in company car takes out hassle. if its a perk it can be very worthwhile to buy and have a lower mileage assest after a few years.
 
This new job comes with a company car or an allowance if you use your own. At the moment we are a one car family ( I have a motorbike) that she uses for work so it's a company car for me. Question is from what I've read the amount of tax you pay also goes on the co2 emissions. But I will be doing lots of traveling I want somethimg big ish like a Mondeo size car so it's comfortable and big enough for tools and stuff. Any suggestions on this? I will be using for personal use also
the benefit is worked out on the cars value and co2 and you get more added if you are provided with personal fuel. My last p11d I had £3k added for the small van and another £600 for having a fuel card for personal use. So in other words I got taxed on another £3600. My cars (1.6d mediums estates) used to double that and be something like £120 extra tax taken off per month
 
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