SXI - Matt
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Registered: 8th Jul 07
Location: Leicestershire Drives: Corsa C SRI
User status: Offline
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Morning, need some help with company cars, my other half has been told to sort out a car she wants as her company car. They've said it has to be up to 15,000 miles and have NAV. They have given her £250(ish) per month they'll pay a bit more if she wants. They'll pay for the maintain ace on top of that and will cover the cost for the additional nav charge.
I want to have a look around at deals but what do they class it as just business lease? Assuming they don't have to pay a deposit like personal lease?
She's been told to look at LEX, Alphabet and Lombard?
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whitter45
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Registered: 15th Nov 02
Location: Norton
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business lease will have VAT excluded
When you say she has £250 a month is that given to her or is that the allowance she has to choose from providers as it will have different implications
If £250 is given to her that is opt out in which the income is taxabale but will not pay BIK
However with you saying it has maintenance its sounds like a BIK scheme
for 15k and £250 a month it will not get you much
As an example my lease through our company car provider is £589 a month with maintenance for 23k a year. My company pays that but I pay the compnay the BIK instead of the tax man meaning my tax code has gone back up to 1000 rather than 289
Also the P11D will stipulate how much BIK she will have to pay depending on 20% or 40%
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SXI - Matt
Member
Registered: 8th Jul 07
Location: Leicestershire Drives: Corsa C SRI
User status: Offline
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She has to pay the tax on it every month and the company pay the £250?
This side of leasing is all new so unsure how it works, where is the best place to start looking she can use any one apparently..
Thanks for your help mate, her boss said he found an A1 sport for £244 a month she can have or she can find some think else if she wants.
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whitter45
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Registered: 15th Nov 02
Location: Norton
User status: Offline
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Lex, Hitachi Captial, Lloyds TSB arwe the big names
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whitter45
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Registered: 15th Nov 02
Location: Norton
User status: Offline
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Lex, Hitachi Captial, Lloyds TSB arwe the big names
Also google lease company's as they advertise business deals
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SXI - Matt
Member
Registered: 8th Jul 07
Location: Leicestershire Drives: Corsa C SRI
User status: Offline
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So you can literally just use any lease company and you don't normally need a deposit do you for company lease?
Ms assume bik is done on each vehicle depending on spec ect, emissions ect
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whitter45
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Registered: 15th Nov 02
Location: Norton
User status: Offline
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yes BIK is calculated on P11D price i.e on the road price and then the emissions provide a % which is taxable
You then pay 20% or 40% of that figure depending on if you are 20% or 40% tax payer
Normally companies have preferred lease providers so they can negotiate discount so your Mrs should be asking her boss where to look
a little bit more to it but you get the idea below
i.e 30k with emissions or around 120 will be approximately 20% BIK
So that means 6,000 for BIK. You then pay either 20% or 40% of that meaning £1200 a year or £2,400 a year in BIK
[Edited on 18-02-2015 by whitter45]
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SXI - Matt
Member
Registered: 8th Jul 07
Location: Leicestershire Drives: Corsa C SRI
User status: Offline
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Ah that makes sense thanks again 
Her boss has said to use hitachi, lex ect are they a supplier of the lease or do you use them to order and select the car also? Going on there website just explains who they are and nothing about selecting a car.
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whitter45
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Registered: 15th Nov 02
Location: Norton
User status: Offline
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we are with hitachi
They supply log on details to quote cars as our company will have negiated discounts etc
basically it gives my monthly allowance and I price cars against that
Hitachi is not a great company although the order process is good as it highlights exactly what costs you stand to pay around BIK etc
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