exp car allowance

valentino46

hi guys,

hope someone could help with the following:

i have an expensive car pool with a vehicle which value has been brought forward of £18000, i think im right limiting the WDA to £3000 instead of £3600 and as the business use is 60% i then calculate 60% of the £3000?

this might sound obvious or ami doing it wrong?

im having trouble when it comes to calculating % for business use

thanks

rob

Terdoo

Re BTC

yes you are doing the right thing
3000 * 60% Capital Allowance for expensive car 1800

Gem7321

But remember you still write down the car by the full amount

valentino46

thanks guys,

i was initially taking 60% from the wdv b/f not the 20% wda

thanks

rob

Lilyflower

Sorry to through a possible spanner in the works, but this is for a sole trader and not a company? - Company cars can quote private use till the cows come in but it doesn't matter.

Lily xxxxxxxxxxxxxxxx

valentino46

hi lilley,

it was for business use, i was initially calculating the 80% business use off the wdv b/f of the exp car pool rather than first writing down the 20% and then calculating 60% of the wda, if that makes any sense.

im yet to tackle personal tax so i think your comments maybe be in relation to that unit, is personal tax based along the same lines as business??

cheers

rob

A-Vic

Yes if for a business there is no personal use this would go on his own P11d and he would be taxed on the benifit as well as there is no expensive car in business this is just special rated and allowence at 10% unless CO2 less than 160

valentino46

thanks Avic,

there seems to be links between business tax and pers tax can i expect this with other areas too?

thanks

rob

A-Vic

Your welcome rob

Only just learning this myself but for some reason this stuck.

The one thing am struggling with is NI

Gem7321

Hang on I think you're getting confused between business tax and corporation tax.

Businesses, ie. unincorporated businesses, can have PU. Ltd. co.'s can't.