I have a client that owns shares and is a director in a trading company, he currently draws £2,500 a month to pay for an expensive car, he wishes to sell the car to the company, resign as a director and gift the shares to his son, thereby relieving him of the vehicle and its costs.
If he was to use the car at any point how would he be taxed.
For a bit of background he has another business so the potential loss of income is not a consideration.
Thanks
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He's probably just transferring an expensive BIK to his son, so probably not the best idea.
It's made available for private use by reason of the son's directorship. Therefore, the benefit in kind is the son's (based on the original list price of the car).