Steer crazy

If I buy a new Isuzu Rodeo 4x4 pick-up, do I have to pay £3,000 road tax per year? I'm self-employed/VAT registered.

Asked on 26 September 2009 by

Answered by Honest John
No. If you were a limited company and the company bought the truck, then gave it to you as a company car, you would have to pay tax on the basis of £3,000 BIK, so 25% or 40% of £3,000. If you legitimately use the pick-up for business and keep it at your business premises (not your home) with no private use you pay no BIK tax and can reclaim the input VAT.
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