Director with company car and tax efficiency

Scouser

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Director of my own company with a company car for the past 3 years, is there anything I can do to take it off the books that would make sense to do? Can I sell it to myself, any implications here?
 
If you want to buy the car get a valuation from a garage and buy it from the company for that price. If you don't buy it the value of the car is taxable and you will need to operate PAYE on it. You probably have enough details to do the comparison on it yourself in terms of price. At the moment I presume that the company is paying the car tax, petrol, insurance etc. Once the car is yours you'll have to pay all these yourself out of net after taxed income. Is it cheaper for you to pay the BIK or own the car yourself and pay all its costs. Where you own it yourself you can also claim Civil Service mileage rates to the extent that is relevant for any business travel that you do.
 
Thanks, I think I need to workout what tax, insurance, fuel, servicing, etc are costing per year and workout how much I would need to earn from the company to cover this.

How long does the car stay on the books? When can it be written down?
 
The car is written down evenly over eight years and a max deduction of €24K or something. You can transfer it at any time and the value is important - easy pickings for the Revenue if it is reviewed and no formal valuation available.
 
The BIK is calculated on the Original Market Value of the car when it was first registered in the State. The current valuation has absolutely no bearing on the BIK computation
 
The BIK is calculated on the Original Market Value of the car when it was first registered in the State. The current valuation has absolutely no bearing on the BIK computation
D67 was talking about having it valued at point of transfer of ownership from company to director, which would be a separate one-off BIK event.
 
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