Budget:Tax incentive for cycling to work!

kenmc

The house is in uproar!
wonder what we'll get. something like the UK cycle-to-work scheme would be nice!

Raam

kenmc wrote: »

The house is in uproar!

Well well well!

jimmycrackcorm

at no cost they will allow cyclists to in through red lights

Money Shot

kenmc wrote: »

The house is in uproar!

What's the incentive ????????

kenmc

didn't hear - the house was in uproar!

Daithi BC

I'm guessing that not too many TDs cycle to work.

Lumen

Perhaps the incentive is that you're too poor to drive?

irishmotorist

Jesus, we're quick! I wonder what it will mean. They're talking about tax incentive - is that how the UK bike to work thing is phrased?

Raam

irishmotorist wrote: »

Jesus, we're quick! I wonder what it will mean. They're talking about tax incentive - is that how the UK bike to work thing is phrased?

I hope they back date it. I'm owed millions.

kenmc

Lumen wrote: »

Perhaps the incentive is that you're too poor to drive?

Doubt it.
I have a car. I'd never in my wildest dreams imagine driving it to work though, to sit in traffic jams for who knows how long? I doubt I'm the only one.

Don't you think I should get a motor tax refund then, seeing as how I'm not using it to it's full potential?? I'd happily pay your 10 euro cycle tax then!

TinyExplosions

Raam wrote: »

I hope they back date it. I'm owed millions.

Ditto!

Still wanting to know what it is though!!! Stupid uproar

stevoman

€200 a year if you park at work.

Chips Lovell

He didn't provide any details on it really. I'd say Gormley will have more in the Carbon budget tomorrow.

8c on a litre of petrol, 4 to 5% on motor tax and a tax on carparking. Time to sell the car.

Wonder if this new incentive can be used to fund purchase of a Colnago.

scottreynolds

stevoman wrote: »

€200 a year if you park at work.

Damn I wanted 50% discount on bikes onto e5,000 if you can provide a letter from your employer (I'm self employed) saying that you ride to work at least twice per week -- I think that would be fair. That would include zero VAT in store and the cycle shop claiming foe the difference in price with your PPS number....

that way i would get another new bike :-)

Raam

el tonto wrote: »

Wonder if this new incentive can be used to fund purchase of a Colnago.

I like how your mind works.

TinyExplosions

"As part of the Government's overall programme to support a sustainable environment, I propose to introduce a flat rate levy in the major urban areas of €200 where an employer provides car parking facilities for employees. In addition, I am proposing a tax incentive to promote cycling to work. These initiatives seek to encourage greater use of public transport and ease congestion in our major cities. I will also bring forward measures in the Finance Bill to relate BIK on cars and mileage to CO2. These measures, together with expenditure decisions and enhancements to capital allowances for energy efficient products for businesses will make a positive contribution to reducing Ireland's carbon emissions"

So, it just says there's some incentive, but not what it is... I want a VAT free bike

penexpers

Or something like the ride to work scheme.

Daithi BC

From the Department of Finance website:

"From 1 January 2009, the provision of bicycles and associated safety equipment by employers to employees who agree to use the bicycles to cycle to work will be treated as a tax exempt benefit-in-kind. The exemption may only apply once in any five year period in respect of any employee. There will be a limit on the value of such purchases of €1,000 for each employee. The scheme may also be implemented via salary sacrifice arrangements, whereby an employee agrees to forego part of his/her salary to cover the costs associated with the purchase of the bicycle and associated safety equipment. Where such salary sacrifice arrangements are implemented, they must be completed over a maximum period of twelve months."

kenmc

TinyExplosions wrote: »

So, it just says there's some incentive, but not what it is... I want a VAT free bike

Fixed...

flickerx

at the moment where i am there's a tax break on all cycling safety equipment. no VAT on stuff like helmets, lights, bells. simple idea but probably effective.

Lumen

I was hoping Brian would announce cuts in the rainfall.

BH2008

Did any one else see the funny side of the TDs reaction, the thoughts of giving a cyclist any sort of recognition in government chambers does not sit well......clearly cyclists are viewed in the dail as some form of second class citizen.....(excluding the greens obviously!):rolleyes:

dub_skav

BH2008 wrote: »

Did any one else see the funny side of the TDs reaction, the thoughts of giving a cyclist any sort of recognition in government chambers does not sit well......clearly cyclists are viewed in the dail as some form of second class citizen.....(excluding the greens obviously!):rolleyes:

Would cyclists be 3rd class if you included the greens?

rflynnr

flickerx wrote: »

at the moment where i am there's a tax break on all cycling safety equipment. no VAT on stuff like helmets, lights, bells. simple idea but probably effective.

And where are you?

(Passim: this is great though. From Indo-reader "tax all cyclists" to UK-stylee ride-to-work schemes in the course of a working day.)

Collumbo

I like the idea of riding through a red light allowance.... anyone else?

BH2008

dub_skav wrote: »

Would cyclists be 3rd class if you included the greens?

Very true!!

Chips Lovell

I think the carpark levy is on employers, not punters.

So, everyone gets a discount on their next bike. If you're on the top rate, I think that means you could get €400 off. Wonder do you have to buy the bike in Ireland? In which case, you mightn't be making much out of it at all.

Chips Lovell

Wonder can you claim carbon wheels are "associated safety equipment"?

kenmc

true, probably means the price of a bike will increase on 1st jan :rolleyes:

kenmc

el tonto wrote: »

Wonder can you claim carbon wheels are "associated safety equipment"?

Well it's lethal to try cycling without wheels....

TinyExplosions

el tonto wrote: »

So, everyone gets a discount on their next bike. If you're on the top rate, I think that means you could get €400 off. Wonder do you have to buy the bike in Ireland? In which case, you mightn't be making much out of it at all.

Good point -it may well be worthless to use for a saving that can be made buying online.... hmmm... more investigation needed I think

irishmotorist

Daithi BC wrote: »

From the Department of Finance website:

"From 1 January 2009, the provision of bicycles and associated safety equipment by employers to employees who agree to use the bicycles to cycle to work will be treated as a tax exempt benefit-in-kind. The exemption may only apply once in any five year period in respect of any employee. There will be a limit on the value of such purchases of €1,000 for each employee. "

Does this mean that I ask my employer for 1k, he gives it to me, I buy a fancy new thing and he claims the 1k back from the Government?

dub_skav

el tonto wrote: »

Wonder can you claim carbon wheels are "associated safety equipment"?

You could claim that they meet all requirements of lateral stiffness and vertical compliance

rflynnr

One for the accountants out there: say you bought a bike for €1500. Would you be entitled to tax exemption on the first €1000? (He said, furiously scanning pages of online retailer bike prices.)

Lumen

As I read it, it won't matter where you buy it.

Are SRM power cranks classed as safety equipment?

Chips Lovell

irishmotorist wrote: »

Does this mean that I ask my employer for 1k, he gives it to me, I buy a fancy new thing and he claims the 1k back from the Government?

No, it means that you spend the €1K, but don't have to pay tax on it.

rflynnr wrote: »

One for the accountants out there: say you bought a bike for €1500. Would you be entitled to tax exemption on the first €1000? (He said, furiously scanning pages of online retailer bike prices.)

Yes, my reading is its the first €1,000. So you could in theory spend €10,000 on a bike and get a discount.

Lumen

irishmotorist wrote: »

Does this mean that I ask my employer for 1k, he gives it to me, I buy a fancy new thing and he claims the 1k back from the Government?

No. He pays 1k for it, and you don't pay any more tax.

eta: beaten by tonto. won't be the last time, I suspect.

CheGuedara

kenmc wrote: »

Well it's lethal to try cycling without wheels....

Flashpoint FP60s here we come...

flickerx

wow, hard to believe this is actually happening.
mcdowell as minister for justice made a big announcement a few years back about making a special bike theft unit in dublin... did it happen? like fúck.

Vélo

At 1st I thought, Shiite I wish I didn't buy that bike a couple of weeks ago.
Then realised now I can have to buy a new one! yippee (I'm sure my wife will understand):eek::eek:

Also the bike I got was Ltd edition and will more than likely sell out quickly.

kenmc

el tonto wrote: »

I think the carpark levy is on employers, not punters.

Finance website says:
"A flat rate levy of €200 per annum will be charged on employees whose employer provides them with car parking facilities. "
Sounds like it's on the employees. But how to police/enforce it? Similarly the bike thing - I predict a lot of kiddies getting late Xmas pressies of a new bike.

Danno

It is not fesible for me to cycle 15.5miles to work... no use to me.

Caroline_ie

Daithi BC wrote: »

I'm guessing that not too many TDs cycle to work.

Eamonn Ryan does, I am pretty sure I heard he doesn't own a car.

Caroline_ie

Caroline_ie wrote: »

Eamonn Ryan does, I am pretty I heard he doesn't own a car.

Apart from the ministerial one?

Raam

BH2008 wrote: »

Did any one else see the funny side of the TDs reaction, the thoughts of giving a cyclist any sort of recognition in government chambers does not sit well......clearly cyclists are viewed in the dail as some form of second class citizen.....(excluding the greens obviously!):rolleyes:

What was their reaction?

rflynnr

Aquinas73 wrote: »

At 1st I thought, Shiite I wish I didn't buy that bike a couple of weeks ago.
Then realised now I can have to buy a new one! yippee (I'm sure my wife will understand):eek::eek:

Also the bike I got was Ltd edition and will more than likely sell out quickly.

My thoughts entirely - my wife was the first person I texted when I heard about this. She's taking the bad good news well.

Raam

Raam wrote: »

What was their reaction?

Rabble rabble rabble!

I think that might have been down to the €200 levy slapped onto employers/ees for car parking thing, it was announced a few seconds before.

Chips Lovell

kenmc wrote: »

Finance website says:
"A flat rate levy of €200 per annum will be charged on employees whose employer provides them with car parking facilities. "
Sounds like it's on the employees. But how to police/enforce it? Similarly the bike thing - I predict a lot of kiddies getting late Xmas pressies of a new bike.

Sorry, the way Lenihan phrased it sounded like it was levied on employers.

Caroline_ie wrote: »

Eamonn Ryan does, I am pretty sure I heard he doesn't own a car.

Yes, I see him often on his bike. I've even seen him speaking on his phone while cycling.

Vélo

TinyExplosions wrote: »

Good point -it may well be worthless to use for a saving that can be made buying online.... hmmm... more investigation needed I think

If you buy on line and then claim for the new incentive then you'll have to pay the vat on it.
Correct me if I'm wrong but if you buy a bike from let's say "Wiggle" the VAT you pay goes to English exchequer and you would have to pay it again entering Ireland.

Chips Lovell

There is weeping and gnashing of teeth on the Motors forum

Chips Lovell

Aquinas73 wrote: »

If you buy on line and then claim for the new incentive then you'll have to pay the vat on it.
Correct me if I'm wrong but if you buy a bike from let's say "Wiggle" the VAT you pay goes to English exchequer and you would have to pay it again entering Ireland.

No, EU arrangements mean that if you pay VAT in one country, you don't have to pay it here.