If I was to lease a car (contract hire), would this be tax deductible as a sole trader (self employed person)?

DPMoney
by DPMoney 09 February 2012  |  Comments 2 comments  |  Love Love  0 loves

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  • Jake61
    Love rating 2
    Jake61 posted

    You will be able to claim tax relief on a contract hire car yes. If you were to use your own car for business purposes, you would also be able to claim deprecation. And in both cases you would also be able to claim a certain amount of relief on fuel costs. You need to take a sensible approach, especially when it comes to fuel. Basically, the tax officer know that the vehicle will be used at some time or other for private use. If this is the case with you, I recommend you state 85% business and 15% personal use. In nearly all cases the tax office will accept this figure. Make sure you keep all receipts including the hire contract and cost and obviously all fuel receipts.

    Posted on 02 March 2012 | Love Love  0 loves Report
  • DPMoney
    Love rating 0
    DPMoney posted

    Thanks Jake, appreciated

    Posted on 05 March 2012 | Love Love  0 loves Report

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