Please help

[yester]

I am about to set up as a sole trader in the Building Industry for which I will need to Purchase a van. Please can someone advise me of the most efficient method with which to make my purchase? I understand there are basically three main ways to finance a vehicle, Finance Lease, Hire purchase and Contract hire. Finance Lease appears to be the most suitable and affordable however I am unsure whether I will receive the maximum tax benefit as I doubt I will be vat registered for a few years yet.

Thank you in advance for your help.

 

[noseall]

over to you Thermo?

ask big 'T' as his wife is an accountant and he hasn't paid any income tax for years.

 

[gas4you]

If and when you go VAT registered, you can claim back the VAT paid for up to 3 years on the likes of vans and tools etc, 6 months on utility bills.

 

[Thermo]

in terms of tax its contract hire. depends really what you want and how much money you want to sink into it. Do you want something you will own at the end of the period or do you want something you can hand back after the contract period and then get a new one?