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Electric Cars – There’s Never Been (Or Going To Be) A Better Time

Electric cars – love them or hate them there are a few facts we cannot deny…

  • They are most definitely better for the environment
  • They cost less to run
  • The ‘fuel’ tax is much, much less
  • And for now at least, they are a very, very tax efficient mode of transport

But not just yet – hold your horses for another few months…

The government has announced that from 20/21 the benefit in kind rate for pure electrical vehicles will be 0%.

Zero per cent! Nothing, nunca, null, nada!

Will my car be eligible?? Here’s the fine print…

This 0% rate will also apply to company cars registered from the 6th April 2020 with emissions from 1-50g/km with a pure electric mile range of 130 miles or more.

The benefit in kind on these vehicles will increase to 1% in 21/22 and 2% in 22/23.

Cars registered before the 6th April 2020 with emissions from 1-50g/km and a pure electric mile range of 130 miles or more will attract a 2% benefit in kind rate in 20/21 and stay the same for the 2 subsequent years.

What other benefits are there??

Well,  c’mere, there’s more, as Jimmy Cricket would have said (am I showing my age, or nationality more by that reference??):

From the 6th April 2018 Companies have also been eligible to claim 1st year allowances on the purchase of vehicles with CO2 emission of less than 50g/km.

Remember that the 1st year allowances do not count towards your annual investment allowance for the year – bonus!

What about charging – Are there any grants available?

And as if that’s not enough, plug-in grants are available through dealerships when purchasing certain vehicles. If the electric vehicle you’re purchasing qualifies for the grant you will receive a discount of 30% off the purchase price up to a maximum of £3,500.

And if your car isn’t eligible for this grant, do not despair as you may still be able to get up to £500 inclusive of VAT off the cost of installing a charger at home through the electric vehicle home charge scheme!!

If you run a company, then there is also a workplace charging scheme available which provides support towards the upfront costs of the purchase and installation of electric vehicle charge points.

Bonus benefit….

And in a funny twist of fate, you can still claim your 45p mileage allowance on the first 10,000 miles of business travel, even in an electric car – brilliant!

What’s not to like about this??

If you would like to discuss anything further please do not hesitate to contact us!

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Amazon Sellers – top tips to ensure your long term success

Have you ever considered selling on Amazon or eBay, setting up an eCommerce business, or a little side hustle?

If this sounds like you, it seems you are not alone.

More and more people these days are selling online to boost their income, sometimes just for a bit of fun and with no higher plans, and other times in the hopes of turning this so called side hustle into their dream job and their very first foray into entrepreneurship…

We have been receiving lots of enquiries recently about accounts and tax for Amazon sellers, so I’ve recorded a little video outlining our top tips if you are thinking about giving it a go yourself…

Read More »

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