Can I pay personal car repair bills with company?

mick.fr

Got my own Ltd company, IT business.
I use my personal car to go on customer sites. Don't have a commercial, mileage is not justified.

Since I mainly use my car to work on customer sites during the week, can I actually cover the repairs with my company's money directly, or am supposed to get mileage expenses only to cover this?


Cheers in advance

dbran

Hi

If you are not claiming mileage but just motor expense receipts directly then it is appropriate to claim the repair as an expense as it is a necessary expense incurred for the purpose of trade.

Regards

mick.fr

dbran wrote: »

Hi

If you are not claiming mileage but just motor expense receipts directly then it is appropriate to claim the repair as an expense as it is a necessary expense incurred for the purpose of trade.

Regards

I have seen a few people doing that so I was wondering.
Seen a guy recently he paid for a set of 4 new rims/tires for his personal car. He paid with company cheque directly.

Another one is getting the car fully serviced, oil, sparks etc..Don't know if he expenses it or pay with company means directly.

Make sense to you, as long as mileage is not counted?

At the moment I am "stuck" on the same customer site for over 6 months, so I cannot claim mileage with my company since it is considerered normal place of work.

Bandara

mick.fr wrote: »

I have seen a few people doing that so I was wondering.
Seen a guy recently he paid for a set of 4 new rims/tires for his personal car. He paid with company cheque directly.

Another one is getting the car fully serviced, oil, sparks etc..Don't know if he expenses it or pay with company means directly.

Make sense to you, as long as mileage is not counted?

At the moment I am "stuck" on the same customer site for over 6 months, so I cannot claim mileage with my company since it is considerered normal place of work.

I take 6k a year out of each company as motor expenses, anything I need for the car, tyres, servicing etc I write a company cheque directly. If I don't need anything I just write myself a cheque for 1500 each quarter from each company and lodge it into my account, on the cheque stub it goes as motor expenses so my accountant can file it accordingly so it's all
above board

Have being doing this for years, had full revenue audit last oct and revenue have no issue with it. Keep it at 6k, anymore and your taking the p1ss in their eyes.

mick.fr

Hammertime wrote: »

I take 6k a year out of each company as motor expenses, anything I need for the car, tyres, servicing etc I write a company cheque directly. If I don't need anything I just write myself a cheque for 1500 each quarter from each company and lodge it into my account, on the cheque stub it goes as motor expenses so my accountant can file it accordingly so it's all
above board

Have being doing this for years, had full revenue audit last oct and revenue have no issue with it. Keep it at 6k, anymore and your taking the p1ss in their eyes.

Cheers mate, 6k is more than enough for the few bits and pieces I need

That just made my day..