Car WDAs

The 1^st April 2009 saw important changes to the ways in which companies can get relief for the purchase cost of cars against corporation tax.

Cars emitting up to 110g CO₂ per km

100% first year allowances are available on new low emission cars at least unitil 31/03/13. This continues the policy of previous years, but beware that the threshold was tightened down from 120g to just 110g.

• List of available cars
• Illustration of tax flows

Cars emitting from 111g to 160g CO₂ per km

These cars will receive a 20% writing down allowance on a reducing balance basis. Secondhand cars below 111g and registered before 01/02/01 will also go into this pool.
There will also be no lease rental restriction.

• List of available cars
• Illustration of tax flows

Cars emitting above 160g CO₂ per km

Writing down allowances are restricted to just 10% of the purchase cost on cars emitting more than 160g CO₂ per km.Cars will be added to the "special rate pool".
If your company leases, rather than buys outright, there is a restriction of 15% on the finance part of the rental.
There is a wide range of cars below this threshold, and drivers may be discouraged by their employers from choosing a car in this category.

• List of available cars
• Illustration of tax flows