When you run your own small business, it is important to make yourself aware of the intricacies of business tax. VAT on business vehicles is one of the taxes which can often cause new small business owners some confusion, so it is important that you know exactly how to deal with it.
VAT can be reclaimed by any VAT registered business for goods and services which are used for commercial purposes. To reclaim VAT on a business vehicle, you must therefore be able to prove that the vehicle is for business purposes.
There are many different methods for reclaiming VAT on business vehicles, and there are pros and cons to each. This article will talk you through how to negotiate reclaiming VAT on vehicle expenses.