Having a mental block here - Car in a ptr'p

Posted by Anonymous PM | on Tue, 09/02/2010 - 10:13 284 1 comment | report

4 Partners (2 H&W)

A - brings a car they already own in to the partnership.

B - then uses the car for business and personal.

Is this a BIK for B? i am assuming so.

If it is not used exclusivley for B. Is it just a case of taking private use element off in comps etc.

Apologies if this is basic but i am having a bad day.

Comments

stephenkendrew | Tue, 09/02/2010 - 10:20 | Permalink

We all have bad days.

The benefit in kind system is only for employees and directors.

The partners are self-employed so it is a case of making any private adjustment in the tax computations and partnership tax return.