Business Contract Hire is commonly referred to as vehicle lease and allows businesses a fixed payment method for the use of a vehicle for a term of normally between 12-48 months. The payments attract VAT of which for cars 50% and for commercial vehicles 100% of the finance element is reclaimable, 100% of the VAT for any maintenance payment is reclaimable. The rental payments are also classed as a true business expense so can be wholly offset against corporation tax. The benefits are fixed monthly payments with no disposal risk but reasonable care has to be taken of the vehicle and also there is an obligation to remain under the stated mileage at the contract inception or the finance company will levy a charge for loss of value.
* All vehicle images and car descriptions on this site are for illustration and reference purposes only and are not necessarily an accurate representation of the vehicle on offer.
T: 0330 6600 703
F: 0872 110 5965
KG Vehicle Solutions Ltd
Registered Office : C/O J McNally Ltd Certified Accountants, 16 Orchard Drive, Glasgow, East Renfrewshire, G46 7NU
| Company Reg No : SC 361897 | Data Protection No : ZA090918 | VAT No : 976 9692 34 |
KG Vehicle Solutions Ltd are a credit broker and not a lender, we are regulated by the Financial Conduct Authority. Registered No : 627791
Copyright © 2017 KG Vehicle Solutions Ltd, All rights reserved.