Worth chatting to your employer though, if they have other company cars it’s not a huge deal to get another, insurance etc will already be in-place. You might take a pay cut to offset the cost to the company of the car, but as you get the car BIK free it’s effectively tax free income, assuming you were going to buy the same new car personally.
I’m no expert, so people should get proper advice. However the view of our company accountant was that changing your employment package to include a company car was not avoiding tax, because you have to pay BIK to compensate, so there was no salary sacrifice issue there. Compared to say decreasing your salary to take a tax free one-for-all voucher or increase your employer pension contributions.I could be wrong, but scarifying your gross salary for buying a car won't be acceptable by the revenue.
I’m no expert, so people should get proper advice. However the view of our company accountant was that changing your employment package to include a company car was not avoiding tax, because you have to pay BIK to compensate, so there was no salary sacrifice issue there. Compared to say decreasing your salary to take a tax free one-for-all voucher or increase your employer pension contributions.
There just so happens to be a temporary 0% rate of BIK on electrics.
What we do is decrease gross salary by any costs (insurance/tax/whatever) and include a contribution towards the cost of the car roughly equivalent to the depreciation of the car, rather than the full loan cost (if you have a loan).Another issue i see with this approach..... you will buy car with your money but you won't be the owner of the car.