Claiming VAT back on a new car.

Claiming VAT back on a new car.

Author
Discussion

reb1977

Original Poster:

112 posts

227 months

Tuesday 6th February 2007
quotequote all
OK, my accountant is away for a couple of weeks so I thought I would ask the knowledgable PH collective the following.

I am looking at buying a new Range Rover that will not only be used as my own car but also as a tow vehicle for work. I am looking to pay a deposit out of the business funds and finance the rest through the business, will I be able to claim the VAT back on the cost of the car, including the extras (assuming I planned to pay 17.5% of the eventual sale price of the car, the VAT element, back to the HMRC)?

For what its worth I own a garage and the car would be used occasionally for collecting cars for us to carryout work on.

Would I also be right in thinking that the deposit and finance payments will notbe subject to taxation as they will be a business expence.



reb1977

Original Poster:

112 posts

227 months

Wednesday 7th February 2007
quotequote all
Thank you Eric, what does a vehicle need in order to be VAT qualifying?