Value Added Tax

[GG33]

Has anyone (possibly) considered purchasing Ultima components, small or large, through a VAT registered company? Or is it strictly a NO-NO?

[Paul.B]

Buying them through a VAT registered business is not a problem. Then claiming the VAT back may lead to a whole world of hurt!!!

Unless you do have a legitimate business reason and you do convince the VAT man if/when he comes knocking.

Some have tried and failed, that much I do know.

[hedgefinder]

I suppose you could buy one as an advertising tool and claim back the vat..
but obviously it would then belong to the vat registered company..

[F.C.]

hedgefinder said:

I suppose you could buy one as an advertising tool and claim back the vat..
but obviously it would then belong to the vat registered company..

Not if you put the maintenance/repair only down to the company for use as advertising.
In fact you could argue that a track day was a "benefit in kind!" the company pays the bill and you pay solely Benefit in kind (reduced) tax on your tax return.
My accountant has recently told me the company can pay for a holiday for the wife and me, my tax obligation would be benefit in kind only.
Of course the company needs to be in good health to "afford" this on your behalf.

Edited by F.C. on Tuesday 24th September 16:01

[UltimaCH]

Any way of getting your UK offshore havens (yes, you do have a couple if I remember.....) to good use? I don't know if they levy VAT or other taxes. Is it possible to create a company there and register the car to the company?

[F.C.]

UltimaCH said:

Any way of getting your UK offshore havens (yes, you do have a couple if I remember.....) to good use? I don't know if they levy VAT or other taxes. Is it possible to create a company there and register the car to the company?

Unfortunately we have company car tax, this was put in place to stop budding petrol head directors spending company money on weekend toys.
In the main it is cheaper to own your own car and claim " mileage" , though private mileage is also subject to benefit in kind tax.
We are truly screwed when it comes to car ownership in the UK

[budala]

We are truly screwed when it comes to car ownership in the UK.

You can't imagine what it is in France !!!