Best way to lease or buy an electric car?

Best way to lease or buy an electric car?

Author
Discussion

Sim75

Original Poster:

851 posts

141 months

Tuesday 21st May
quotequote all
I know this has probably been covered a million times, but my business partner and I are looking at getting a couple of Macans through our business and were wondering what the best way of financing them would be. We have a privately owned SME and both draw salaries as PAYE.

Tax advisor/accountant says a straightforward lease paid for by the business.
Dealer says buy it (on finance) and claim a 100% writedown - not sure what that means.
Guessing it's claiming back the payments against gross profit if the costs of that is put against the business, therefore reducing our corporation tax liability??

Any help or experience would be really appreciated.

Oh, and any one know any brilliant porsche dealers... a contact would be ace.

Snozzer

128 posts

143 months

Tuesday 21st May
quotequote all
When the company buys the car outright, 100% writedown means you don't pay corporation tax on the cost of the car. That's what we did as it makes it 20%+ cheaper if the company is in profit. Not sure about leasing, sorry. We paid cash for ours and it's still a good saving, even with the increases in BIK now.

Edited by Snozzer on Tuesday 21st May 13:03