Having a classic as a company car

[85Carrera]

Have just set up a company and am wondering about running a classic as a company car. Car would have a value of about 7k and be 70s so initial purchase price say 2.5-3k.

Assume all costs on car (servicing, insurance, etc) can be deducted before tax.

Can I also offset 45p/mile for petrol against tax and is the car depreciated in the company books?

[AB]

BIK based on list price?

[PurpleMoonlight]

If it's a classic car to HMRC definition, more than 15 years old and worth more than £15,000, the BIK is based on market value not original purchase price.

You can't claim the 45p per mile for a company car, only a personal one.

[anonymous-user]

Buy it privately and claim the 45P under the fixed profit car scheme, I think you need over 2 liter for the 45, The 45 was calculated to include depreciation on anew car so on a classic with no depreciation you should be well in.

[Pistom]

Out of interest, what car are you thinking of using and how many miles a year?

[85Carrera]

PurpleMoonlight said:

If it's a classic car to HMRC definition, more than 15 years old and worth more than £15,000, the BIK is based on market value not original purchase price.

You can't claim the 45p per mile for a company car, only a personal one.

Would be under 15k so BIK is based on original purchase price

[85Carrera]

Pistom said:

Out of interest, what car are you thinking of using and how many miles a year?

.

Dolomite Sprint. Probably 5-6k miles a year

[Ozzie Osmond]

PurpleMoonlight said:

If it's a classic car to HMRC definition, more than 15 years old and worth more than £15,000, the BIK is based on market value not original purchase price.

^^^ This. HMRC slammed shut that loophole a long time ago.

[PurpleMoonlight]

85Carrera said:

Dolomite Sprint. Probably 5-6k miles a year

I suppose you could park around the corner when visiting people ....

[Truckosaurus]

PurpleMoonlight said:

I suppose you could park around the corner when visiting people ....

As I've said before, who are all these people having Business Meetings in the car park?

There are people I work with every day that I wouldn't have a clue what car they drove.

[AB]

Truckosaurus said:

As I've said before, who are all these people having Business Meetings in the car park?

There are people I work with every day that I wouldn't have a clue what car they drove.

You must work for a much larger company than I do then.

I've worked for some fairly large ones in my time and of course you get to know what people drive as you see them arriving/leaving and having an interest in cars it's something you tend to notice.

[85Carrera]

PurpleMoonlight said:

85Carrera said:

Dolomite Sprint. Probably 5-6k miles a year

I suppose you could park around the corner when visiting people ....

Or arrive on the back of a tow truck ...

[DonkeyApple]

85Carrera said:

Or arrive on the back of a tow truck ...

A classic tow truck?

[85Carrera]

By the way, if I buy the Sprint in my personal capacity, can I charge the company 45p a mile even if some or all of those miles are on the back of a tow truck?

[Pistom]

85Carrera said:

Pistom said:

Out of interest, what car are you thinking of using and how many miles a year?

.

Dolomite Sprint. Probably 5-6k miles a year

I like your thinking.

[85Carrera]

fesuvious said:

Op:

Are you asking because you would like the fun of the driving, or because you think there may be financial advantage?

I'm genuinely interested.

Am keen to get one anyway just wondering if there may be any benefit having the company buy it. I suspect not, but if so may as well have the company buy it