Does anyone run a TVR as a company car?

[Extra 300 Driver]

I am thinking of running a Cerbera, or Tuscan, through my business. As an example, from what I have worked out, a 1999 Cerbera 4.5 would cost about £250/mth for a 20% TAX payer, with fuel. I would put fuel through as expenses, or at the HMRC rate.

Running it through the business means all service and maintenance costs go through the business and do not really affect my take home payment, through PAYE and Dividends. Does anyone have any experience of doing this? Who did it work out? The way I see it is, I could get a C63 AMG at £599 a month but this would be over 3 years and I see it as just money down the drain!

[V8 GRF]

This has been discussed before. I've no idea what the regs are at the moment but it did make sense at one time.

http://www.pistonheads.com/gassing/topic.asp?h=0&a...

[Gazzab]

Interesting. My accountant has always steered me away from a co car. I claim private car mileage. Might be beneficial to put running costs through but I guess it all depends on age and value of car (to work out benefit in kind tax?) and then what likely running costs you think you might incur. Would be good to reduce my tax liability (especially when I'm surrounded by immoral people using offshore loans arrangements and paying pretty much zero tax!).

[FUBAR]

What you need is a Cerbera 'pool car'

[Dave 500]

We got ours as company cars 1 x Cerbera (mine) 1 x Porsche CS4 (partners)

Accountant went nuts I think he was more upset with the Porsche to be fair (something to do with when a Porsche turns up the company normally goes bust within 1 year).

Anyway we had to take dividend payments, no way at the time you could pass them off as company cars without costing a fortune.

[V8 GRF]

I forgot to mention you need to be able to regard them as 'Classic cars' for there to be any benefit as in reducing your tax liability etc but they need to be over 15 years old to qualify so at the moment they need to be registered pre 1997.

[ridds]

Surely claiming mileage is more efficient what with 45p per mile these days.

[Extra 300 Driver]

Righto, I have spoken to the accountant.

There are no CO2 figures for the Cerb, and as its under 15 years old and 4500cc that would mean it would attract 35% TAX on the new list price, so say £45,000. Therefore if:

20% tax payer, 45000*35%*20%= £3150 per year Tax
40% tax payer, 45000*35%*20%= £6300 per year Tax

Also my 10% per year dividend would be reduced by £15750, and the business would have to pay NIC on any BIK.

In other words, its just not worth it! C63 looking attractive now!

[Gazzab]

FUBAR said:

What you need is a Cerbera 'pool car'

This is wrong side of the line for me. It's a car not a Carr.

[Mr Cerbera]

GAFL.....

[mart 63]

ridds said:

Surely claiming mileage is more efficient what with 45p per mile these days.

I claim this,but its only for the first 10,000 miles.Its 25p per mile there after.

It does add up good if you do alot of miles.

[Gazzab]

My prob is that my insurance doesnt cover business mileage and I only drive 10 miles or so to the station where I wouldnt want to leave the cerb all week in the elements and with no battery conditioner.

[Brummmie]

Mine is my brake pad demonstration vehicle, so i NEED to take potential clients out in the car to demonstrate their effectiveness, a track day is perfect and a necessary expense

[Gazzab]

Brummmie said:

Mine is my brake pad demonstration vehicle, so i NEED to take potential clients out in the car to demonstrate their effectiveness, a track day is perfect and a necessary expense

Have you got a cerbera ? ;-)

[FUBAR]

Gazzab said:

Have you got a cerbera ? ;-)

Back of the net!