FINANCE LEASE - THE TAX EFFICIENT OPTION FOR VAT REGISTERED COMPANIES
For VAT registered companies that want to offset the administration of their vehicles but have the asset shown on their balance sheet, Finance lease is the ideal option. It is a VAT beneficial option allowing you to pay the entire cost over the agreed lease period, plus an interest charge, or pay lower monthly rentals during the vehicle lease period with a final payment based on the anticipated resale value of the vehicle.
Maintenance options are also available should you choose to use this type of vehicle funding.
When choosing to use Finance Lease, the customer must understand that at no time will they take ownership of the vehicle as the balloon payment at the end of the agreement period must be paid to the finance company.
THE BENEFITS OF FINANCE LEASE ARE LISTED BELOW:
- Accurate monthly budgeting
- Improved cash flow
- Minimum capital expenditure
- Fixed interest rates
- Rentals are offset against taxable income
- Reduced administration
- Ongoing advice and support
- VAT chargeable on rentals
- VAT recoverable on monthly rentals
- VAT recovered on invoice value by Fin.co and passed to the customer in the form of lower rentals
For more information about finance lease contact us on 0845 124 6952 (Local rates apply).
Alternatively click the following link to contact us via Email.