Quote:
Originally Posted by amorak
Very untrue - As a CA, I can say that the tax laws have changed on this, with the advent of things like standby fees and availability-for-use charges. Many companies are no longer leasing employee cars due to the negative tax impact, depending on your situation
The safest bet these days is to simply buy a vehicle for personal use and keep track of your KM - you can then bill the company a per KM charge for business travel, etc.
Either way you must track the KMs used, and if you lease the car under a business and have less than 50% usage (if memory serves, is it 70% now?), you'll be hit with the standby charge, which will be a taxable benefit to you
This is pie-in-the-sky advice and you should speak to a tax professional about the specifics of your situation
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No question each person needs to talk to their accountant about their personal situation.
But if you are a personally leasing the car for business use it is fairly simple math for the write off amount. again no question talk to your personal accountant
In the end if you buy or lease there is no real tax advantage either way to my knowledge. The govt will only let you deduct so much. 30% deprecation of the $30k cap or $750 a month on a lease is $9000 a year, notwithstanding the hit on the buy in the first year only allowing 50% of the 30%