View Full Version : Using a car for business

18-08-2008, 07:37 AM
Am just having a random thought (due to the fact that my car decided to attempt to blow itself up Saturday and dont think its fixable.....).

Because of this I am now looking at various options. We have a nice car which is fine for us to use outside of work, but as only has 4 seats and has a nice leather interior its not exactly fit for childminding and school runs lol

I therefore need to figure out how to get a new car for work only. Does anyone here lease a car? I was wondering if I did would I be able to put it through my books as a full 100% business expense? The only other option I can think of is to get a loan (which Im not sure I want to do, and also dont think I could put the full cost through my books). If it wasnt for the childminding, I wouldnt need a 7 seater car, so is only for business purposes that I need the car (hope that makes sense).

Thanks for any help or advice you can give me on this one.

18-08-2008, 07:44 AM
I would have thought if you can prove that you only use it for childminding ie through milage you should be able to put it htrough your books but i am not totally sure sorry

Chatterbox Childcare
18-08-2008, 07:48 AM
No matter which option you take (lease or own purchase) you can only put 100% through if you can prove 100% use for childminding.

There are 2 options available to you:

.40p per business mile travelled (always round up and not down).

Deprecation - this is a bit more tricky but if your business % is higher than 60% then I would look at it.

Either way you need to keep mileage records so that you can justify your claim.

Hope that helps


18-08-2008, 07:50 AM
If you put any car expenses above the 40p per mile allowance through your books, you go into very complicated 'capital expenditure' territory.

I strongly suggest you contact the Tax Office for further advice