View Full Version : Car as a business expense

Clever Clogs
10-03-2008, 05:46 PM
Hi there

Sorry if I should be putting this onto a post I had done previously - wasn't sure. I am thinking of getting a new car and my father in law suggested buying it through my business. When I had asked about which cars you use, Flora had stated about watching out for it on tax return as I would need to fill in a more detailed one that cm's. Has anyone esle bought their car through their business and claims it as a capital allowance? At the moment I already fill out a tax return as I also work as an Aromatherapist and do Indian head massages etc (although few and far between). Are there any more implications etc that I would have to look out for? Been trying to phone the tax office for advice but they're constantly engaged.

Thanks in advance


01-04-2008, 04:29 PM
i spoke to them on behalf of my mum as she was thinking of becoming a cm, i dont drive, and i said if she needed to upgrade to a seaven seater which would solely be used for childminding could she claim as a business expense, they said no...


might just have been the snot nosed cow i got though!

02-04-2008, 09:43 AM
A friend of mine is using the accountant that the NCMA advertises and he is offsetting the cost of her seven seater through the business (not full cost just part cost). So it must be possible.

02-04-2008, 09:48 AM
It is possible to put a portion of it through as a capital allowance but this involves a much more complicated tax return.

If you do it thsi way, you can not then also claim the 40p per mile mileage.

We were told on our tax evening that you are far better claiming the 40p per mile as it works out more worth while. You dont need to keep receipts and more importantly you get to do the simpler tax return!

02-04-2008, 01:41 PM
Just starting out as a Childminder (awaiting hubby's crb) so I have not received my tool kit yet. But starting to think about accounts and things.

How do you actually claim 40p per mile?

Do you need to write down each week where you have been and the mileage? Is there somewhere on the NCMA accounts book to do this or is it something seperate? Do you need to keep petrol receipts?

02-04-2008, 01:59 PM
I got a new 7 seater recently and am claiming the 40p per mile, works out good when you claim for everything! I didn't realise just how much I've missed out on by not claiming!

02-04-2008, 02:19 PM
Good advice already given.

I have only ever claimed the mileage and yes it really can add up quite quickly.