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If you? t do any real business miles it you cost ?1, 840 per year for a relatively new car which is supported by your employer.

Many changes have been made to the tax regime for company cars in recent years, and therefore the advantage of having a car company has reduced considerably for many taxpayers.

However, there is no "one size fits all" answer, and will need to do the math to determine where the balance lies in any particular case.

Taxable benefit is based on the level of emissions of the car in slabstock delivery minimum is 15pc list price for a car with a level of emissions of 130 g/km of CO2 and the minimum increases by 1pc of list price for each additional 5 g/km CO2 up to a maximum of 35pc.

So a car costs ￡ 20,000 with a level of emissions from 170 g/km the benefit will be 4 ￡ 600 (20,000 x 23pc), which resulted in a tax bill of ￡ degrees for a taxpayer 40pc .the ' employee who can find an acceptable price to pay to have a newish car which is maintained by the employer.

However, they may wish to compare alternative to receive higher salaries and buy their own voiture.Dans this scenario, the employee would business mileage claims.HM Revenue & customs approved 40 p per mile for the first miles mileage rates 10 000 and 25 per mile on any excess.

In short, if you made any real business miles, it will cost you ￡ degrees per year for a relatively new car which is supported by your employer.

But if you do lots of miles with your work, arithmetic can become intéressante.Chaque individual will be a paragraph break different depending on the number of miles business that do you, emissions of the car, the car and how the individual feels on the congratulations to have a new car prices sitting on the drive.

Anecdotal suggest that people who buy cars instead of a new car get better value; if you are satisfied with this approach, it is probably cheaper to buy a car yourself and request return relevant mileage.

Don't forget that business miles must be authentic and Home Office commuter account.

Richard Mannion is the Director of the national tax Smith & Williamson, accounting and financial services group

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