Best lease car deals available?

[PurpleMoonlight]

BE57 TOY said:

PurpleMoonlight said:

You are wrong.

The BIK arises because the lease is in the company name and they make the car available to the employee for personal use. HMRC ignore what you claim is a lease between the company and the employee, and they have won tribunals on that.

I disagree.

BIK arises because there is a benefit to an employee ie a car for personal use NOT because a lease agreement has been signed.

You may well be correct following an Upper Tier Tribunal hearing last month.

See http://www.taxchambers.com/sites/default/files/HMR...

The appears to be exactly what we are debating. A car leased to an employee at market rate.

Both 1st and Upper Tier tribunal found that no BIK was applicable.

I think Upper Tier tribunals are binding on HMRC practice.

[theboss]

PurpleMoonlight said:

BE57 TOY said:

PurpleMoonlight said:

You are wrong.

The BIK arises because the lease is in the company name and they make the car available to the employee for personal use. HMRC ignore what you claim is a lease between the company and the employee, and they have won tribunals on that.

I disagree.

BIK arises because there is a benefit to an employee ie a car for personal use NOT because a lease agreement has been signed.

You may well be correct following an Upper Tier Tribunal hearing last month.

See http://www.taxchambers.com/sites/default/files/HMR...

The appears to be exactly what we are debating. A car leased to an employee at market rate.

Both 1st and Upper Tier tribunal found that no BIK was applicable.

I think Upper Tier tribunals are binding on HMRC practice.

Even if they are successful - read the case and it goes back years and through several hearings and appeals. What a complete and utter waste of time and no doubt stress for the business owners. This just reinforces my point that, IMHO, it's too much of a grey area and I'd rather avoid putting a car anywhere near my company's affairs whether it's going on the books as personal expenditure or not.

[PurpleMoonlight]

theboss said:

Even if they are successful - read the case and it goes back years and through several hearings and appeals. What a complete and utter waste of time and no doubt stress for the business owners. This just reinforces my point that, IMHO, it's too much of a grey area and I'd rather avoid putting a car anywhere near my company's affairs whether it's going on the books as personal expenditure or not.

I don't dispute that.

Keep it simple and within the boundaries unless you have deep pockets.

Apparently the Government has amendments to the tax code coming into force from 6th April 2014 which may affect this going forward anyway.

Edited by PurpleMoonlight on Sunday 30th March 17:47

[Thankyou4calling]

Can we stick to the topic please, there are other threads for this sort of argument. Anyhow, this is the company I currently use and, although my current deal doesn't end until September I'll be calling them tomorrow to see if I can bag one of these beauties.

[Wills2]

Not a bad deal does it come with anything? Or do you have to spec Metallic paint/heated seats nav etc.....


Just checked you get leather/nav/heated seats in the standard spec so a cracking deal really nothing much to add.

Edited by Wills2 on Sunday 30th March 19:14

[Thankyou4calling]

Wills2 said:

Not a bad deal does it come with anything? Or do you have to spec Metallic paint/heated seats nav etc.....


Just checked you get leather/nav/heated seats in the standard spec so a cracking deal really nothing much to add.

Edited by Wills2 on Sunday 30th March 19:14

I only stumbled across the firm two years ago and found them very efficient to deal with. My current Mercedes was a stock car so although I couldn't spec it a few options were included at negligible cost. The E Class would be close to perfect although ideally I'd like a more powerful diesel. Still, the deal is on the 220 so I'll see what I can do.

[mattman]

PurpleMoonlight said:

I don't dispute that.

Keep it simple and within the boundaries unless you have deep pockets.

Apparently the Government has amendments to the tax code coming into force from 6th April 2014 which may affect this going forward anyway.

Edited by PurpleMoonlight on Sunday 30th March 17:47

Sorry, 1 quick question - I assume that being a self employed contractor, currently without a ltd company, I can't qualify for a business lease, but if I have a ltd co setup I can?

[Thankyou4calling]

mattman said:

Sorry, 1 quick question - I assume that being a self employed contractor, currently without a ltd company, I can't qualify for a business lease, but if I have a ltd co setup I can?

They will credit check your newly formed company. With no trading history you will not be granted a business lease. With a failed application for a business lease you may well struggle to get a private lease. Now, please post good lease deals or ask elsewhere. Thanks.

[Beefmeister]

Thankyou4calling said:

They will credit check your newly formed company. With no trading history you will not be granted a business lease. With a failed application for a business lease you may well struggle to get a private lease. Now, please post good lease deals or ask elsewhere. Thanks.

Good lord, you're a special kind of arrogant, aren't you? Who the hell appointed you as Grand Master of this thread?

[Welshbeef]

BE57 TOY said:

There is a big difference. If the company sees the lease charge in its accounts and then the director reimburses the company then, as above, there is BIK.

If the company doesn't declare this expense and the director repays the company, the two net off and there is no BIK.

All that's happening in essense is the director using the company bank account. Completely above board, cut and dry, no BIK!

Are you in this situation? If so have you actually discussed it through with your local HMRC tax office or are you just taking an accountants word for it? End of the day it is the individual who is liable for unpaid taxes not the accountant.

When something sounds too good to be true it usually is - double check and get the answer in writing from HMRC incase there is recourse down the line.

[Wills2]

Thankyou4calling said:

mattman said:

Sorry, 1 quick question - I assume that being a self employed contractor, currently without a ltd company, I can't qualify for a business lease, but if I have a ltd co setup I can?

They will credit check your newly formed company. With no trading history you will not be granted a business lease. With a failed application for a business lease you may well struggle to get a private lease. Now, please post good lease deals or ask elsewhere. Thanks.

TBH the post was a valid one, bit harsh.

Mattman, you should be able to get a business lease as yourself I did with Audi on an allroad, but BMW wouldn't do it, seems it can be pot luck.

You can always do the personal lease and prices are pretty similar.

[mattman]

Wills2 said:

Thankyou4calling said:

mattman said:

Sorry, 1 quick question - I assume that being a self employed contractor, currently without a ltd company, I can't qualify for a business lease, but if I have a ltd co setup I can?

They will credit check your newly formed company. With no trading history you will not be granted a business lease. With a failed application for a business lease you may well struggle to get a private lease. Now, please post good lease deals or ask elsewhere. Thanks.

TBH the post was a valid one, bit harsh.

Mattman, you should be able to get a business lease as yourself I did with Audi on an allroad, but BMW wouldn't do it, seems it can be pot luck.

You can always do the personal lease and prices are pretty similar.

Cheers guys (not u thanku4calling ) I've been looking at evoque deals and they are all over the place, business lease for a pure tech pack seem to bottom out at approx £295+vat whereas a personal lease is closer to £400.
I'll keep looking - the boss is a bit of a badge snob so won't consider a kuga or crv etc

[mattman]

Wills2 said:

Thankyou4calling said:

mattman said:

Sorry, 1 quick question - I assume that being a self employed contractor, currently without a ltd company, I can't qualify for a business lease, but if I have a ltd co setup I can?

They will credit check your newly formed company. With no trading history you will not be granted a business lease. With a failed application for a business lease you may well struggle to get a private lease. Now, please post good lease deals or ask elsewhere. Thanks.

TBH the post was a valid one, bit harsh.

Mattman, you should be able to get a business lease as yourself I did with Audi on an allroad, but BMW wouldn't do it, seems it can be pot luck.

You can always do the personal lease and prices are pretty similar.

Cheers guys (not u thanku4calling ) I've been looking at evoque deals and they are all over the place, business lease for a pure tech pack seem to bottom out at approx £295+vat whereas a personal lease is closer to £400.
I'll keep looking - the boss is a bit of a badge snob so won't consider a kuga or crv etc

[NPI]

Thankyou4calling said:

Can we stick to the topic please, there are other threads for this sort of argument. Anyhow, this is the company I currently use and, although my current deal doesn't end until September I'll be calling them tomorrow to see if I can bag one of these beauties.

The 9 months up front is disproportionate on a 24mth deal. Adds a big percentate to the monthly headline figure.

[Thankyou4calling]

NPI said:

The 9 months up front is disproportionate on a 24mth deal. Adds a big percentate to the monthly headline figure.

It does but I still find it appealing. It's a £40,000 car after all so the total cost over 24 months of £11,000 is still less than the likely depreciation.

[NPI]

Thankyou4calling said:

It does but I still find it appealing. It's a £40,000 car after all so the total cost over 24 months of £11,000 is still less than the likely depreciation.

Yay you.

[siovey]

Thankyou4calling said:

Can we stick to the topic please, there are other threads for this sort of argument. Anyhow, this is the company I currently use and, although my current deal doesn't end until September I'll be calling them tomorrow to see if I can bag one of these beauties.

Hi Mate, it seems too cheap to me...This is about £20 p/m cheaper than Mercedes Corporate can do..normally no-one gets near them. If it is through Merc corporate, then the deal wont exist as it's not the price they are quoting. Also, Mercedes are currently taking at least 24 hours for a finance decision so I'd be surprised if anyone applying today would get this done in time
If this deal does exists, then it's very good. Good luck!!!

[Setest]

Looks like there may be new discounts appearing on the m135i?

They are business leases only though...

http://www.silverstonefleetmanagement.com/business...

[jon-]

Setest said:

Looks like there may be new discounts appearing on the m135i?

They are business leases only though...

http://www.silverstonefleetmanagement.com/business...

That's discounted? I'm paying 209+VAT for 10k miles over 24 months. That looks more representative?

[Setest]

jon- said:

That's discounted? I'm paying 209+VAT for 10k miles over 24 months. That looks more representative?

Was that one of the deals that was running Dec/Jan though, or was that ordered recently?