Hello,
The company i work for does not have a cycle to work scheme and did not seem overly keen on putting one in place when i spoke to them.
Other than getting a friend to get me a bike on his cycle to work scheme, what other options are available to me to get a new bike with some tax relief? Can you do one direct with hmrc without involving a company? Any help appreciated
Thanks Dave
Just buy a bike you can afford
No, it has to be done through PAYE. Best thing to do if your company will not introduce it is to get a 0% loan/CC
Its not the case of not being able to afford, it the thought of getting something from the tax man that appeals to me! Ill ask them again at work
the thought of getting something from the tax man that appeals to me
you haven't seen the new set up then!!
its the final pay out thats the issue with the black and white of the schemes now. you need to look into this final payment as the company is not allowed to gift you the bike at the end.
That being said im on the scheme now and i got a trek 1.2 which im really happy with for now - needed a raod bike as its 20 miles to work
Check out the new article on Roac CC [url= http://road.cc/content/news/39840-cycle-work-scheme-payments-be-vatable-next-year ]here[/url]
Apparently the new VAT ruling will mean that as of 1st Jan you'll only get about 10% off a new bike but you may get the VAT back if the company don't pass it on to you.
Personally I'd say avoid the cycle to work scheme like the plague - you can get cheaper if you shop around if you want monthly payments you can do the interest free credit thing.
EDIT: Logic beat me to it!
I see that new ruling isn't being back-dated, unlike the end of term value rules. No consistency again!
That is probably the nail in the coffin - gonna be a bugger for anyone who has just signed up and will be making payments next year with VAT.
I thought they had negotiated a new loophole which hmrc accepted; you pay the same nominal final fee which is called an admin fee to extend hire period to 4yrs with no more payments, at which point the bike has zero residual value and you keep it. My employer is with Cyclesheme and this is the case with them and was all over the "bike to work scheme ruined" threads.
Edit seen linked article on vat; so if someone signs up this year their payments in 2012 might be effected?
I think im going to get on the scheme before jan 2012 again to get one last good saving