Cycle to work scheme

[richy]

Hello

Is anyone on the Cycle to work scheme?

As a UK contractor, can I buy bicycle equipment through Ltd co and save the tax.

Just bought "HUMP" waterproof rucksack cover (already bought the rucksack for biz trip use only). Now I cycle to client on bike with rucksack, and it keeps getting wet through!

Can I "buy in" my existing bicycle to the company?

Thanks in advance for any tips. Rich

[MarillionFan]

Just the mileage I believe.

[northernladuk]

Some older threads on this...

http://forums.contractoruk.com/accou...-expenses.html

http://forums.contractoruk.com/accou...rk-scheme.html

I can't remember what the rules are about buying them, mostly because I didn't read the threads but I am sure it is covered in these.

[richy]

20p per mile alternative

Hi, thanks for the links.

I'm thinking about the alternative, keeping the bike personal, but claiming 20p per mile. I've got a local gig.. so only 60p to get to clients.. but all counts..!

How many years can I keep claiming these 60p for ? is it the 2 year rule? I just moved 100 miles to be so close to client, does that mean the clock is reset, and I can claim 60p for 2years?

Thanks, rich

[Mr.Whippy]

How many years can I keep claiming these 60p for ? is it the 2 year rule?

Yes, you're still going to the same destination regardless of the travel method.

I just moved 100 miles to be so close to client, does that mean the clock is reset

No, you're still going to the same destination regardless of the starting point.

and I can claim 60p for 2years?

Yes, 2 years in total including the time before you moved.... (obviously the usual thing about stopping claiming when you know it's going to go beyond 2 years still applies also)

[JamJarST]

Hello

Is anyone on the Cycle to work scheme?

As a UK contractor, can I buy bicycle equipment through Ltd co and save the tax.

Just bought "HUMP" waterproof rucksack cover (already bought the rucksack for biz trip use only). Now I cycle to client on bike with rucksack, and it keeps getting wet through!

Can I "buy in" my existing bicycle to the company?Thanks in advance for any tips. Rich

As far as I know, you cannot "buy in" your existing bike, it has to be a new bicycle from a recognised and registered supplier up to a value of £1000.

[h8mmer]

As far as I know, you cannot "buy in" your existing bike, it has to be a new bicycle from a recognised and registered supplier up to a value of £1000.

You can go over the £1000 limit - by as much as you want BUT if it exceeds £1,000, you have to get a consumer credit license.

Below that amount you're covered by a group consumer credit license.

You also might want to look at the changes made to the BTWS last August; HMRC have now set a min resale value on bikes (something like 25% of the original cost for anything that cost £500+ new). This may make the scheme no longer worth it - depends how you and your accountant interpret the new rules....

[JamJarST]

You can go over the £1000 limit - by as much as you want BUT if it exceeds £1,000, you have to get a consumer credit license.

Below that amount you're covered by a group consumer credit license.

You also might want to look at the changes made to the BTWS last August; HMRC have now set a min resale value on bikes (something like 25% of the original cost for anything that cost £500+ new). This may make the scheme no longer worth it - depends how you and your accountant interpret the new rules....

Thanks for that I didn't know you could go over the £1k limit, I did know that HMRC were clamping down on the residual values. The £1k limit was always the problem for me when I was looking at it as a permie, none of my bikes cost less than £1K.

[Jeebo72]

Just buy the bike as a company asset.

[richy]

Just buy the bike as a company asset.

yep, think I'll have to take that approach as been with current client since 2008..

Does the 2yr rule apply differently if I have two clients? I've got one main client, and a secondary one that I work from a different location with.