Home For accounting professionals General accounting discussion
Current updates regarding coronavirus (Covid-19) and the precautions AAT are taking will be continually updated on the below page.

Please check this link for the latest updates:
We hope you are all safe and well and if you need us we will be here. 💚


Operating Lease - Car

JamesBJamesB Feels At HomeRegistered Posts: 51
Hello all,

if a director of a Ltd co hires a car under an operating lease in her name (not the company name) and pays for it personally, can she claim say 50% of the repayments and vat as a business expense as the car will be used 50% for business?

If the answer to the above is yes are there any BIK implications seeing as it is an operating lease, thus not a company car.

Thanks in advance,
J

Comments

  • stevo5678stevo5678 Well-Known Cheltenham Registered Posts: 325
    I think VAT is strictly based on who the invoice is made out to so I would say no (which eliminates theBIK question).

    Can't it be changed to the company?


    JamesB wrote: »
    Hello all,

    if a director of a Ltd co hires a car under an operating lease in her name (not the company name) and pays for it personally, can she claim say 50% of the repayments and vat as a business expense as the car will be used 50% for business?

    If the answer to the above is yes are there any BIK implications seeing as it is an operating lease, thus not a company car.

    Thanks in advance,
    J
Sign In or Register to comment.