Electric car through Ltd?

[BolshieBastard]

I understand that, but isn't it more expensive to do that, with no asset at the end of it? 3 year, 15k mile lease is coming in at £894 p/m, with a £5.5k deposit. At least with owning the car you will get a decent sum back at the end of it.

Yes, it is. Although early EVs suffered big depreciation, the last couple of years has seen EV either hold their price very well and in some instances, even appreciate.

Also bear in mind that while some people still think EV batteries need replacing every 2 or 3 years (yes, there are still some people who think because their iphone batteries give up after 3 years, EV batteries do the same), there are numerous instances particularly in the US of Teslas with 200,000 miles on them retaining over 90% of the original battery capacity.

Even humble 4 and 5 year old Nissan Leafs with 60,000+ miles on them are recorded as having not less than 92% original battery capacity.

What needs to be standardised on EVs is the charging plug between chademo, CCS, Type 2 etc and AC or DC charging.

[Lance]

Save a lot of cash and just do a contract lease. Electric cars are in its infancy, battery tech is evolving at lightning pace (pardon the pun) so mitigate your asset from being devalued by simply purely leasing the car. I’ve done the same with the new iPace

not sure you'll actually save at all with that method.
I know it may seem remarkable, but the finance companies behind leases have factored depreciation into their business models.

[CanPayButWouldRatherNot]

just giving this a refresh ...

so the elec car BIK is minimal/zero so that is a good incentive then

but my only worry is if uou lease a car on your ltd company .... but then due to ir35 you decided to go permie and close the business

is there hassle with the lease to go to you personally instead ?

[northernladuk]

Yes, you'll have a business lease not a personal one. You'll have to ring around to see what providers will allow you to transfer leases.
Are sure you'll want to go perm. Is taking an inside IR35 role and keeping the business open not an option.
I'm highly suspicious of the super low rates. Its an incentive now but I'd say its a perfect target for tax grabs in coming years.

[WTFH]

just giving this a refresh ...

so the elec car BIK is minimal/zero so that is a good incentive then

but my only worry is if uou lease a car on your ltd company .... but then due to ir35 you decided to go permie and close the business

is there hassle with the lease to go to you personally instead ?

Depending on how you leased it and under what deal, but you'd have to pay the VAT, and they'd probably want a new contract given that consumer rights, etc would come into play as it was no longer b2b but b2c.

[Lance]

. Its an incentive now but I'd say its a perfect target for tax grabs in coming years.

Yup...

Especially when they realise that not only has the tax take of fossils plummeted but that there is insufficient generating capacity to replace fossils...

[CanPayButWouldRatherNot]

Yes, you'll have a business lease not a personal one. You'll have to ring around to see what providers will allow you to transfer leases.
Are sure you'll want to go perm. Is taking an inside IR35 role and keeping the business open not an option.
I'm highly suspicious of the super low rates. Its an incentive now but I'd say its a perfect target for tax grabs in coming years.

yeah not sure about going permie if I am honest and will definitely look to keep going - am 51 so its a bit late to go permie (despite with Brillopad keeps telling me !)

when you say

'I'm highly suspicious of the super low rates. Its an incentive now but I'd say its a perfect target for tax grabs in coming years'

you saying you are worried about the BIK getting jacked up a few years down the line and by then we are locked in ?

[northernladuk]

Yup. A nice low, but unsustainable incentive. When electric becomes more the norm they will have to Jack the rates back up to what the norm is now.

[CanPayButWouldRatherNot]

Yup.

hopefully they will target the swanky ipace owners first (like you and my bro in law) with some "mansion tax" first :-)

yours jealously

[Lance]

hopefully they will target the swanky ipace owners first (like you and my bro in law) with some "mansion tax" first :-)

yours jealously

being envious of other peoples' success, makes you sound like the worst kind of permie.
or a Korbynista. Or both.