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Car Rental & Leasing

Tax advisory for vehicle rental, fleet leasing, and auto finance.

Tax Issues

Vehicle Tax

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Rental

Short-term rental — standard-rated 10%. Long-term lease — standard-rated per payment. Corporate fleet leasing — standard-rated. Chauffeur services — standard-rated. Delivery charges — standard-rated. Late return fees — standard-rated.

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Fleet Costs

Vehicle purchase — 5% customs + 10% VAT (input). Fuel — standard-rated input. Insurance — exempt (no input credit). Maintenance — standard-rated input. Tyres — standard-rated input. Registration fees — government, out of scope.

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Disposal

Sale of used fleet vehicles — standard-rated 10%. Export of vehicles — zero-rated. Part exchange — VAT on market value. Scrapping — deemed supply if input claimed. Insurance write-off — adjustment may apply. Capital goods scheme — multi-year adjustment.

Vehicle Advisory

We help rental companies manage fleet VAT from purchase to disposal.

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