Sale of electric car

Treatment of disposal proceeds

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When an electric car is sold and 100% relief is obtained initially, is it de pooled and therefore will create a balancing charge or can the proceeds be allocated to the general pool which may just reduce the TWDV CFwd and not create a BA possibly? 

Replies (8)

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RLI
By lionofludesch
15th Jun 2022 20:23

Corporation tax or income tax? Is there any private use?

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By Paul Crowley
15th Jun 2022 20:43

As lion says
Private use is the answer
Entered 1% private use on a car recently exactly for that purpose.

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Replying to Paul Crowley:
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By Bobbo
16th Jun 2022 14:31

i think you misspelled "because that was a fair reflection of the use of the car"

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Replying to Bobbo:
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By Paul Crowley
22nd Jun 2022 16:00

Whoops

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By Jigs
16th Jun 2022 10:00

Sorry, yes corporation tax.

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Replying to Jigs:
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By Tax Dragon
16th Jun 2022 14:44

Then there's no private use, the car is pooled (GP) and normal rules apply.

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Replying to Tax Dragon:
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By Jigs
16th Jun 2022 16:00

Thank you. Further to the other comments I am trying to understand the relevance of PU for a sole trader, surely that would de-pool the car and automatically create a BC whereas if there was value in the pool that may not be the case - not relevant to my case but interested to know what I am missing?

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Replying to Jigs:
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By Tax Dragon
16th Jun 2022 18:50

Haven't you answered your own question?

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