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Cardwell Management Services UK Limited
Regency House, 45-51 Chorley New Road, Bolton, BL1 4QR
Cardwell Management Services UK Limited
Regency House, 45-51 Chorley New Road, Bolton, BL1 4QR
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Should I get a Company Car?
Your company can own a range of assets, such as tools, equipment, and even premises. For example, if you use a laptop for your work, this can be purchased and owned by the company.
However, company cars are slightly more complicated. If the company owns the car, then the company will pay for everything but
- If you are a director or employee of a limited company, you will be taxed on the “benefit in kind” from having a company car.
- If you are self-employed, you have to calculate the value of the private usage of your car and exclude that from your allowable business expenses calculation.
From April 2002, new regulations reward environmentally friendly cars with discounts on company car tax rates.
Alternatively, if you use your own car for business miles, you can claim back compensation from your company. The amount you can receive tax-free is determined by the HMRC approved mileage allowance payment (AMAP). You can claim back from the company an amount per mile, depending on how many business miles you have covered in that tax year. You should retain a mileage log
detailing the business journeys undertaken.
What's best fro you depends on lots of things and it is advisable to discuss your specific case with your Accountant/ Tax Adviser.
See Also
Choosing the right Accountant
Partners - find yourself the right car
Recommended Links
HMRC - For the latest rates and more information about all these schemes, see the HMRC website:
However, company cars are slightly more complicated. If the company owns the car, then the company will pay for everything but
- If you are a director or employee of a limited company, you will be taxed on the “benefit in kind” from having a company car.
- If you are self-employed, you have to calculate the value of the private usage of your car and exclude that from your allowable business expenses calculation.
From April 2002, new regulations reward environmentally friendly cars with discounts on company car tax rates.
Alternatively, if you use your own car for business miles, you can claim back compensation from your company. The amount you can receive tax-free is determined by the HMRC approved mileage allowance payment (AMAP). You can claim back from the company an amount per mile, depending on how many business miles you have covered in that tax year. You should retain a mileage log
detailing the business journeys undertaken.
What's best fro you depends on lots of things and it is advisable to discuss your specific case with your Accountant/ Tax Adviser.
See Also
Choosing the right Accountant
Partners - find yourself the right car
Recommended Links
HMRC - For the latest rates and more information about all these schemes, see the HMRC website: