Up t date data on buying a electric company car for BIK

[alitech]

Hiya

I hope you guys can help. I have been speaking to colleagues over a number of months I am trying to get my head around how best to get a new electric car through my company. I am in the market for a new EV like the Tesla Model 3. The cost for the basic model with a few upgrades should be about 42k.

I would like to buy one so that the company owns it outright. What do I need to do?

I would be using it as a personal car of course so the few things I know are:

• The company will own the car.
• My company can pay for the car in installments.
• The car's value is wiped off the books after 3 years
• There is a luxury car tax on the car as its over 40k
• The company pays for the maintainance of the car, service, insurance, any tax etc
• I would have to pay for the fuel / electricity
• The corporation savings will be 20% of the total value of the car
• I have to pay 16% of the cost of the car to my company until April 2020 after which it will drop to 2%

This is everything i have been told so far. Is anything incorrect? Is there more to it? What do I need to look out for?

Many thanks and I appreciate your replies.

[Old Greg]

Hiya

I hope you guys can help. I have been speaking to colleagues over a number of months I am trying to get my head around how best to get a new electric car through my company. I am in the market for a new EV like the Tesla Model 3. The cost for the basic model with a few upgrades should be about 42k.

I would like to buy one so that the company owns it outright. What do I need to do?

I would be using it as a personal car of course so the few things I know are:

• The company will own the car.
• My company can pay for the car in installments.
• The car's value is wiped off the books after 3 years
• There is a luxury car tax on the car as its over 40k
• The company pays for the maintainance of the car, service, insurance, any tax etc
• I would have to pay for the fuel / electricity
• The corporation savings will be 20% of the total value of the car
• I have to pay 16% of the cost of the car to my company until April 2020 after which it will drop to 2%

This is everything i have been told so far. Is anything incorrect? Is there more to it? What do I need to look out for?

Many thanks and I appreciate your replies.

AtW could wipe the value off the books within one quarter.

[alitech]

AtW could wipe the value off the books within one quarter.

Hi Greg

Can you please expand on that? What does "AtW" stand for? and how can the value be wiped in a quarter?

[Eirikur]

Did you check with your accountant? Or do you think the opinion of a few random blokes on the internet is a better way to make a decision?

[Lance]

What do I need to look out for?

unqualified idiots telling you things they want to be true, and that you wish to hear.



do a search of the forums on this site. The question has been asked before (often) and usually with a better starting position.
And ask your accountant. They're pretty good at these things and are qualified (usually).

[Lance]

also....


read this
https://www.contractoruk.com/forums/...ml#post2374087

[Old Greg]

Hi Greg

Can you please expand on that? What does "AtW" stand for? and how can the value be wiped in a quarter?

AtW is one of the high volume posters on this forum. He regularly wipes the value off the books very quickly with new car purchases, but you'll have to ask him the exact details.

[DimPrawn]

The Wow Company : How to buy an electric car (and save tax)

[Paddy]

Hiya

I hope you guys can help. I have been speaking to colleagues over a number of months I am trying to get my head around how best to get a new electric car through my company. I am in the market for a new EV like the Tesla Model 3. The cost for the basic model with a few upgrades should be about 42k.

I would like to buy one so that the company owns it outright. What do I need to do?

I would be using it as a personal car of course so the few things I know are:

• The company will own the car.
• My company can pay for the car in installments.
• The car's value is wiped off the books after 3 years
• There is a luxury car tax on the car as its over 40k
• The company pays for the maintainance of the car, service, insurance, any tax etc
• I would have to pay for the fuel / electricity
• The corporation savings will be 20% of the total value of the car
• I have to pay 16% of the cost of the car to my company until April 2020 after which it will drop to 2%

This is everything i have been told so far. Is anything incorrect? Is there more to it? What do I need to look out for?

Many thanks and I appreciate your replies.

If you buy an electric car make sure you buy a cordless version

[Mordac]

If you buy an electric car make sure you buy a cordless version

And remember to keep some reading matter in the car at all times, for those occasions when you won't be going anywhere for quite a while. 'The Lord of the Rings' trilogy and 'War and Peace' will do you for the first month or so...