I have a client who is a director. He has a cycle to work bike purchased at £800. He is paying contributions to this cost through his payslip (PAYE) and the bike has also been capitalised as an asset.
I thought if you capitalised it, the employee wasnt required to pay for the bike just pay a fee if he chooses to take ownership after 12m? Confused that it has been capitalised and also employee is paying..
Does this sound right??