Buying a race/track/rally car through a limited company

[LaurasOtherHalf]

Often wondered about the tax implications of this....

Car would need to have road tax and insurance for use on the open road but would otherwise be the sole property of the limited company. Competition use would be attractive for sponsorship and/or corporate entertainment.

[LaurasOtherHalf]

Thanks for the reply Eric, I was hoping you'd post!

Yes, sole use of the car would inevitably be down to the directors of the company. I hadn't seen your example but had seen this one;
http://www.hwsmk.co.uk/Docs/HWS_spring_08.pdf

One thing to note would be the age of the car-circa 1990 with a value less than £15k.

[LaurasOtherHalf]

Eric Mc said:

I don't think age or type of car has any bearing at all.

Thanks for the detailed reply, in short it wouldn't be unreasonable to assume it would be an attempt to fund a hobby via the business. The age of the car I thought might have a baring as I was sure there was some rules regarding the use of a company car that was over 15 years old and under £15k being taxed on its original selling price.

I can remember a thread on PH from some years back where people debated running an older car with modern mechanicals and being taxed a small amount by but cannot find the thread now.