sole trader has wife as employee [plus about 15 other people], wife on genuine salary no car.
Is the following allowable....
....issue a company car to wife and declare for BIK on her
.....have repairs/service etc done to car [allowable since employee car]
...withdraw co car from wife
I know there is something about BIKs etc for family members etc, so a follow up question [assuming the first scenario above is not allowed].....Would this be allowable if the person was an employee who was NOT related to the sole trader [other than by employment, ie not a family member]
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Replies (6)
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Not the whole story?
If this is just a way of getting an old banger repaired, then why involve the wife? Just issue the car to another employee and have the repairs done.
Or is the car currently registered in wife's name?
Further info required I think.
Yes. Wife might have been simpler [she is a 'genuine' employee]
No car not in wifes name.
Yes...basically looking to put car under company for repairs and then remove.
I guess a potential flaw is that the car MIGHT be worth more on exiting the company than on being introduced, thereby negating any savings?? [It's not making a difference on WBAC [we buy any car]]
Yep acquisition and disposal were what i was concerned about.
It's easier to say than do this scheme of your clients'.
Interestingly.....
Car valued at say £5k, then has say £2k spent on a repair........doesn't automatically make the car worth £7k, or even £6k. Quite often it makes no difference to the value of the car.
Duality of purpose
On the facts as stated there is a duality of purpose to the provision of the vehicle to the wife/employee and to the repairs.
The fact that the wife has managed without a 'company' car until now does rather suggest that she doesn't need one for her job. And providing or sharing a car to/with your spouse is a normal thing within the context of family life.
Radical suggestion: buy her a socket set, a Haynes manual and some overalls for her next birthday. She'll be thrilled.
In today' s world technology is developed a lot. Peoples are adopting technology more and more to make their life easier and simplier. Car is used as the basic medium of transportation by every people. By using of a car personally, the peoples are reach the destination place in time. To keep the car in a good condition and to increase the performance and speed of the car regular repair and maintenance is necessary. Certain parts of the car like brakes, alloy wheels, steering wheel,engine, battery etc. are needs repair and maintenance. So, it is the duty of every car owner to go for regular maintenance of car.
Mini Cooper Repair Van Nuys