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Company motorbike -tax liability?

What is the tax liability of a company motorbike?

Say for example

Bike price ex vat £7,500.00
Bike price inc vat £8,812.50

Servicing Tax Ins spares etc £1,000.00

Company pays all fuel....

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02nd May 2012 06:52

It is .....
....20% of MV at time it was first provided, plus running costs.

Thus in your example it would amount to £2,762 (20% of £8812, plus £1k).

Individual can claim relevant proportion of business use so only taxed on private element but Class 1A NIC is still charged on the full £2,762.

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