Atom as promotional vehicle
Discussion
When I bought my first Atom, my aim was to use it as a business promotional tool - to take clients to trackdays etc. - in order to put the whole thing through the business. Yippee! VAT reclaims and tax write offs here I come...
Sadly, the tax man didn't see it quite the same way. If I used the car for any private mileage at all, then the whole cost of the car would have to be removed from the company. I would have full personal responsibility and it would be run as a company car with those tax implications. Bugger.
But there was a way around this. What I did was to own the car personally, but to hire it out to the business as and when required. I would livery it, pay for the trackdays or whatever, and incur a lot of costs which I would then pass onto the company as a daily hire fee. Bear in mind that hiring a car similar to an Atom for a track day costs around £500-600
Of course, you're liable to be taxed on the income from this, but if you own or run a business with these sorts of opportunities, it is an excellent way to help with the bills.
I have to point out that this was under the legislation at the time, and that you should check with an accountant before assuming anything.
Sadly, the tax man didn't see it quite the same way. If I used the car for any private mileage at all, then the whole cost of the car would have to be removed from the company. I would have full personal responsibility and it would be run as a company car with those tax implications. Bugger.
But there was a way around this. What I did was to own the car personally, but to hire it out to the business as and when required. I would livery it, pay for the trackdays or whatever, and incur a lot of costs which I would then pass onto the company as a daily hire fee. Bear in mind that hiring a car similar to an Atom for a track day costs around £500-600
Of course, you're liable to be taxed on the income from this, but if you own or run a business with these sorts of opportunities, it is an excellent way to help with the bills.
I have to point out that this was under the legislation at the time, and that you should check with an accountant before assuming anything.
I found the same ...bought the car through the company, and then asked my accountant afterwards what he thought to the idea of it being a promotional tool. It took him a while to stop laughing.
The only other option is to keep the vehicle at work, and bolt on a tow bar and trailer, and class it as a delivery vehicle. You'll still get questioned about using it in your own time - but as long as its kept at work every night, is liveried up with company graphics, and you've got another car of your own, then it'd be hard for them to prove otherwise!! My problem is that the Atom is my only car...
>> Edited by atom120 on Thursday 3rd March 15:18
The only other option is to keep the vehicle at work, and bolt on a tow bar and trailer, and class it as a delivery vehicle. You'll still get questioned about using it in your own time - but as long as its kept at work every night, is liveried up with company graphics, and you've got another car of your own, then it'd be hard for them to prove otherwise!! My problem is that the Atom is my only car...
>> Edited by atom120 on Thursday 3rd March 15:18
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