Hire car for business use
Discussion
Countdown said:
Um.just go to Enterprise or Sixt or whoever and say you want to hire a car for Business use.
Am i missing something? My company do it all the time for people who aren't on the company car scheme.
I hoped it would be as easy as that, I don't want to hire it via my business but peronsally and then use it on behalf of my business.Am i missing something? My company do it all the time for people who aren't on the company car scheme.
dfen5 said:
Speak to the business manager at your local hire car depot. So much cheaper if you have an account and excess drops too. I use enterprise a lot.
I presume any personal mileage will get picked up on by HMRC?
Yes suspect it will. My business is very new and so I'm not sure how keen anyone will be to set up an account just yet.I presume any personal mileage will get picked up on by HMRC?
truck71 said:
I hoped it would be as easy as that, I don't want to hire it via my business but peronsally and then use it on behalf of my business.
Are you saying that you don't want to put the hire charges through the business as a business expense?Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
Just being a bit nosy, sorry
Monkeylegend said:
Are you saying that you don't want to put the hire charges through the business as a business expense?
Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
Just being a bit nosy, sorry
Yes, business is only a month old and so I suspect setting up an account won't be possible just yet. I want to ensure I'm covered insurance wise to cart clients about in a hire car as usually using my own personal car I'd get business use cover. Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
Just being a bit nosy, sorry
Appears my enquiry is naive but I don't want to get it wrong.
truck71 said:
Monkeylegend said:
Are you saying that you don't want to put the hire charges through the business as a business expense?
Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
Just being a bit nosy, sorry
Yes, business is only a month old and so I suspect setting up an account won't be possible just yet. I want to ensure I'm covered insurance wise to cart clients about in a hire car as usually using my own personal car I'd get business use cover. Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
Just being a bit nosy, sorry
Appears my enquiry is naive but I don't want to get it wrong.
When you say setting up an account is that for/with the car hire co or a business bank acount? Even if you pay cash, as long as you get a receipt you can put it through the business.
truck71 said:
Monkeylegend said:
Are you saying that you don't want to put the hire charges through the business as a business expense?
Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
Yes, business is only a month old and so I suspect setting up an account won't be possible just yet.Seems unusual if you are using it specifically for business and it is a legitimate business expense, but you want to pay for it personally.
I think what the OP is trying to say is not the accounting side of it. It's an insurance question. If he hire it on a personal credit/debit card (and puts it through business books as an expense) is the car insured for business use.
Answer: Ask the hire company if it's insured for business use.
Answer: Ask the hire company if it's insured for business use.
TooMany2cvs said:
Mr Overheads said:
If he hire it on a personal credit/debit card (and puts it through business books as an expense) is the car insured for business use.
Why wouldn't it be? It's being hired in the course of business...Mr Overheads has the correct answer:
Ask the hire company.
Simples.
KevinCamaroSS said:
TooMany2cvs said:
Mr Overheads said:
If he hire it on a personal credit/debit card (and puts it through business books as an expense) is the car insured for business use.
Why wouldn't it be? It's being hired in the course of business...Mr Overheads has the correct answer:
Ask the hire company.
Simples.
KevinCamaroSS said:
It would not be if the hire company excludes business use.
When hiring a car (or even a van or minibus) I've never been asked whether it's for personal or business use. Surely if they weren't insured they'd ask?Tbh it wouldn't make sense for ALL the hire vehicles not to be automatically insured for business use. that would suggest they need to have two separate hire fleets; one for Joe Public and one for PH Business Director.....
Monkeylegend said:
truck71 said:
Correct, this is the angle I'm coming from. Apologies for frustrating some members..
If you are using it for business you can out it through the books. I was hoping to help you reduce your tax liability. Why pay more than you legally have to 
For example let's assume the car costs him £130 for hire/fuel. If he does 400 miles @45ppm his comoany reimburses him at the rate of £180 (which they offset against taxable profits), meaning he makes £50.
Alternatively if the Business pays the hire company direct it costs them £130, which they offset against taxable profits.
He gets £50 tax free but it costs the company £50 more less any CT savings because of reduced profit.
Gassing Station | Business | Top of Page | What's New | My Stuff