Thanks Smarty, buying one for my business so need it to be commercial. There was a court case, Hercules v Payne , Payne had a Kimbo and court ruled it has a car so need to find out 100% before I buy. Thanks for reply. Do you use yours for work if you don’t mind me asking.
Not Hercules, Hmrc. I mean
If you are buying it for business, and need it to be classed for tax purposes, then you will need the T32 as that has the 1000kg payload requirement. If you get a T32 kombi you will be fine. @StudleyGlass has this and claimed it back through his business. There will be other's but he is the one I know of.
Thanks that helps
Yes @Spitfire I use mine for work and obviously work only
otherwise it would be a benefit in kind and taxable. It is a commercial vehicle owned by and registered to the business. I have some tool and materials stor d in racking permanently on board as I need this for work and take the vehicle home as always on call
My reason to the taxman for having a kombi and not standard van is that I am the boss so have something to reflect that position, just like having a bigger office. The extra seating for when myself and work colleagues have to attend training courses or trade events.
Bottom line is its All down to payload and from then on how you can argue why you have a £40k van, tax free! when you could have a Mercedes or BMW for less as a company car but be taxed on it.
I need a van not car and this just happens to be both.
Your accountant will give you advice and the HMRC have guidelines on this plus lots of helpful advice from forums and guys down thr oub but at the end of the day it will be you have to justify it. So my advice would to be to have your evidence and arguments sorted first.
otherwise it would be a benefit in kind and taxable. It is a commercial vehicle owned by and registered to the business. I have some tool and materials stor d in racking permanently on board as I need this for work and take the vehicle home as always on call My reason to the taxman for having a kombi and not standard van is that I am the boss so have something to reflect that position, just like having a bigger office. The extra seating for when myself and work colleagues have to attend training courses or trade events.
Bottom line is its All down to payload and from then on how you can argue why you have a £40k van, tax free! when you could have a Mercedes or BMW for less as a company car but be taxed on it.
I need a van not car and this just happens to be both.
Your accountant will give you advice and the HMRC have guidelines on this plus lots of helpful advice from forums and guys down thr oub but at the end of the day it will be you have to justify it. So my advice would to be to have your evidence and arguments sorted first.
My accountant been into day , she is looking into it, I have a one year old ranger I’m trading in, I had £3000 added to my income for bik reasons was ok with that. She will tell me ASAP, just want be 100% sure on this matter, we have 6 vans none Kombi though. Thanks for your help in this. Don’t mind paying some taxes but my god , I get p@@@ed off when we pay everything by the book then get more tax when you want a comfortable van, thanks for your help.Yes @Spitfire I use mine for work and obviously work only
My reason to the taxman for having a kombi and not standard van is that I am the boss so have something to reflect that position, just like having a bigger office. The extra seating for when myself and work colleagues have to attend training courses or trade events.
Bottom line is its All down to payload and from then on how you can argue why you have a £40k van, tax free! when you could have a Mercedes or BMW for less as a company car but be taxed on it.
I need a van not car and this just happens to be both.
Your accountant will give you advice and the HMRC have guidelines on this plus lots of helpful advice from forums and guys down thr oub but at the end of the day it will be you have to justify it. So my advice would to be to have your evidence and arguments sorted first.
Think I would have to agree with your accountant on that one. I am guessing you did not slide the kitchen out and start cooking some breakfast
She went fu**ing ballistic a few months ago when i bought three large pizzas from Dominos for my guys who were working late, on my business account. I told her i used them as templates for cutting holes out of ply for portholes.Think I would have to agree with your accountant on that one. I am guessing you did not slide the kitchen out and start cooking some breakfast
Is your accountant your wife by any chance? Hahaha
Payload only matters for Twin Cabs such as the Amorak. There are different rules for both VAT and PAYE in terms to what is a Van and what is a car. The reason this topic is so important at the moment is because of the benefit in kind for personal use. Cars are based on a % of the list price depending on CO2 omissions and vans have a fixed benefit. The difference in the tax payable is huge.
Our clients with Kombi vans and private use have now taking these out of their businesses.
What the log book says it irrelevant.
Take a look at the Coca-Cola case this an area, where HMRC think they can easily get additional revenue from. All from seeing the amount of Kombis parked at campsites and at kids football games (signwritten non the less), you can see how easy it is for them to spot the private use. Especially since most guys seem inclined to post pictures of their holidays in their vans on Facebook
Our clients with Kombi vans and private use have now taking these out of their businesses.
What the log book says it irrelevant.
Take a look at the Coca-Cola case this an area, where HMRC think they can easily get additional revenue from. All from seeing the amount of Kombis parked at campsites and at kids football games (signwritten non the less), you can see how easy it is for them to spot the private use. Especially since most guys seem inclined to post pictures of their holidays in their vans on Facebook
I have looked at Hmrc site and they are saying the very kombi is a car , even if it has a 1000 plus payload. My accountant is looking into it, but I don’t think I will be buying one if there is any doubt from her. In fact me and my fellow director was looking to buy two, so the dealer will be gutted
Same applies to a £60k Land rover Discovery Commerical...It's still a Light Goods Vehicle, fully VAT claimable but your personal tax depends on if you have any private use of the vehicle and it's fuel.Yes @Spitfire I use mine for work and obviously work only
My reason to the taxman for having a kombi and not standard van is that I am the boss so have something to reflect that position, just like having a bigger office. The extra seating for when myself and work colleagues have to attend training courses or trade events.
Bottom line is its All down to payload and from then on how you can argue why you have a £40k van, tax free! when you could have a Mercedes or BMW for less as a company car but be taxed on it.
I need a van not car and this just happens to be both.
Your accountant will give you advice and the HMRC have guidelines on this plus lots of helpful advice from forums and guys down thr oub but at the end of the day it will be you have to justify it. So my advice would to be to have your evidence and arguments sorted first.
I have a T32 Kombi, do not use it for any private mileage and so everything is VAT claimable including fuel and maintenance. No personal tax implications either. Its not all about payload when it comes to your personal tax situation.
Thanks for that info , I will be using it for work only with insignificant private use. Got 6 vans none be. Don’t mind paying taxes but they do take the piss
I've looked into this loads after getting a T32 kombi last summer and here is what I think is the (confusing) case:
Customs class the T32 as a van with a 1+ tonne payload, therefore you can claim the vat back no probs.
DVLA class it as a van.
HMRC class it as a car as it has rear seats and windows, so I'd have to pay company car BIK (benefit in kind) tax each year which was £3.5k or so (for a 'van', oe transporter it's about £800)
So my options I'm considering are, keep it as a personal vehicle and claim back milage. Or say the van is 100% biz use (you're allowed a minimal amount of personal miles, ie popping to the shop to get some milk on the way home from work) and that we use the wife's car for personal trips etc. I'm inclined to do the latter and then be prepared to justify the milage if ever checked.
Customs class the T32 as a van with a 1+ tonne payload, therefore you can claim the vat back no probs.
DVLA class it as a van.
HMRC class it as a car as it has rear seats and windows, so I'd have to pay company car BIK (benefit in kind) tax each year which was £3.5k or so (for a 'van', oe transporter it's about £800)
So my options I'm considering are, keep it as a personal vehicle and claim back milage. Or say the van is 100% biz use (you're allowed a minimal amount of personal miles, ie popping to the shop to get some milk on the way home from work) and that we use the wife's car for personal trips etc. I'm inclined to do the latter and then be prepared to justify the milage if ever checked.
Hi vanman48,accountant says we will get vat back, no problem, but and a big but, if I use it for private use then I will have to pay bill, my wife has a car so need to use it for private use. Hmrc do not help in their conflicting interpretation. Cheers Danny
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