exp car allowance

valentino46
valentino46 Registered Posts: 124 Dedicated contributor 🦉
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

Comments

  • Terdoo
    Terdoo Registered Posts: 144 Dedicated contributor 🦉
    Re BTC

    yes you are doing the right thing
    3000 * 60% Capital Allowance for expensive car 1800
  • Gem7321
    Gem7321 Registered Posts: 1,438 Beyond epic contributor 🧙‍♂️
    But remember you still write down the car by the full amount
  • valentino46
    valentino46 Registered Posts: 124 Dedicated contributor 🦉
    thanks guys,

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

    thanks

    rob
  • Lilyflower
    Lilyflower Registered Posts: 54 Regular contributor ⭐
    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
    valentino46 Registered Posts: 124 Dedicated contributor 🦉
    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
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    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
    valentino46 Registered Posts: 124 Dedicated contributor 🦉
    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
    A-Vic Registered Posts: 6,970 Beyond epic contributor 🧙‍♂️
    Your welcome rob

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

    The one thing am struggling with is NI
  • Gem7321
    Gem7321 Registered Posts: 1,438 Beyond epic contributor 🧙‍♂️
    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.
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