What's best company car or the allowance??
Jun 11th 2007, 6:44 am
#1
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Thread Starter
Joined: May 2006
Location: From Ayrshire to North Lakes and lovin it
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What's best company car or the allowance??
Hi Guys,
Hubby has been offered a job with the option of either a company car or a $15,600 car allowance.
Can anyone give us some advice on what is the best one to accept
,obviously mainly for tax reasons 
, and also do you think this amount is reasonable.
We'll be really grateful for all opinions as this is all new to us.
Thanks in advance
.
Hubby has been offered a job with the option of either a company car or a $15,600 car allowance.
Can anyone give us some advice on what is the best one to accept
,obviously mainly for tax reasons , and also do you think this amount is reasonable.We'll be really grateful for all opinions as this is all new to us.
Thanks in advance
.
Jun 11th 2007, 7:53 am
#2
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Joined: Jun 2007
Location: The "Gong"
Posts: 433
Re: What's best company car or the allowance??
It depends on the frequency that allowance is paid
Is it a one off payment
Do you get it every year ? or every three years ?
Stu
Is it a one off payment
Do you get it every year ? or every three years ?
Stu
Jun 11th 2007, 8:34 am
#3
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Joined: May 2007
Location: Gold Coast
Posts: 392
Re: What's best company car or the allowance??
Hi, i would like to know the answer too, hubby been offered same thing.
does anyone have the answer.
does anyone have the answer.
Jun 11th 2007, 8:57 am
#4
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Joined: May 2006
Location: From Ayrshire to North Lakes and lovin it
Posts: 117
Jun 11th 2007, 9:58 am
#5
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Joined: Jun 2007
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Posts: 433
Re: What's best company car or the allowance??
Well i'm still in the UK atm, but that equates to £6.5K approx which is about the going rate over here.
That money is taxable at your normal income tax rate and has to cover everything. Purchasing the car, servicing, Insurance, fuel.
A company car in the UK with a retail of approx £22K, low emissions costs around £80 per month in tax so say £1000 but all of the running costs are covered.
Its hard to get a new car all expenses paid for £80 per month !
For me its a Company car all the way
I know this is a purely UK perspective, but i hope its of some help
Stu
That money is taxable at your normal income tax rate and has to cover everything. Purchasing the car, servicing, Insurance, fuel.
A company car in the UK with a retail of approx £22K, low emissions costs around £80 per month in tax so say £1000 but all of the running costs are covered.
Its hard to get a new car all expenses paid for £80 per month !
For me its a Company car all the way
I know this is a purely UK perspective, but i hope its of some help
Stu
Jun 11th 2007, 10:22 am
#6
Forum Regular
Thread Starter
Joined: May 2006
Location: From Ayrshire to North Lakes and lovin it
Posts: 117
Re: What's best company car or the allowance??
Well i'm still in the UK atm, but that equates to £6.5K approx which is about the going rate over here.
That money is taxable at your normal income tax rate and has to cover everything. Purchasing the car, servicing, Insurance, fuel.
A company car in the UK with a retail of approx £22K, low emissions costs around £80 per month in tax so say £1000 but all of the running costs are covered.
Its hard to get a new car all expenses paid for £80 per month !
For me its a Company car all the way
I know this is a purely UK perspective, but i hope its of some help
Stu
That money is taxable at your normal income tax rate and has to cover everything. Purchasing the car, servicing, Insurance, fuel.
A company car in the UK with a retail of approx £22K, low emissions costs around £80 per month in tax so say £1000 but all of the running costs are covered.
Its hard to get a new car all expenses paid for £80 per month !
For me its a Company car all the way
I know this is a purely UK perspective, but i hope its of some help
Stu
Thanks for your reply, I am aware of company car taxation in the uk and the costs and current exchange rate, but I am in Australia and costs regarding cars and tax are VERY different here otherwise I wouldn't ask. Thanks for your time anyway.
Does anyone that does know Oz car taxation have any advice?
