Buying a company bicycle

[JohanDiv]

Can I buy a bicycle through my business and get any tax benefits?

 

And if I can, are there limits to what sort of bike it should be? Or a maximum price?

 

I'll be commuting with it to the office 2 to 3 days of the week, so it will actually be partly used for my business, but the price tag might be a bit higher than the usual commuter bicycle..

 

I tried searching here and googled, but not finding much info for South Africa. In some places overseas there are real nice "bicycle to work" benefits.

 

 

 

[Pure Savage]

Can I buy a bicycle through my business and get any tax benefits?

 

And if I can, are there limits to what sort of bike it should be? Or a maximum price?

 

I'll be commuting with it to the office 2 to 3 days of the week, so it will actually be partly used for my business, but the price tag might be a bit higher than the usual commuter bicycle..

 

I tried searching here and googled, but not finding much info for South Africa. In some places overseas there are real nice "bicycle to work" benefits.

Put your company logo on it and call it a sponsorship for marketing.

[gtr1]

With the price of bicycles SARS will think its a car 

[Butterbean]

Delivery bike

[ChrisF]

Speak to your accountant ....

 

 

Know a gent that used a "BMW 1200 GS" as the delivery vehicle for his 25 liter drums of chemicals ....      

 

 

Accountants know the ways and means ....

[coppi]

Gift for a top client, who happens to be a cyclist....................

[BaGearA]

I've worked in many bike shops and can tell you I've sold 3 muna balance bikes for company purposes.

[DieselnDust]

any  vehicle used for the promotion of company, transports of goods or is employed in a capacity where it is performing a duty for the business is tax deductible.

It gets really sketchy if you using it for commuting because that's like saying your commute to work is tax deductible in your car when it isn't.

 

As Chris suggests, talk to an accountant because you can get yourself into some hot water

[dasilvarsa]

Technically, No !

[Pure Savage]

any  vehicle used for the promotion of company, transports of goods or is employed in a capacity where it is performing a duty for the business is tax deductible.

It gets really sketchy if you using it for commuting because that's like saying your commute to work is tax deductible in your car when it isn't.

 

As Chris suggests, talk to an accountant because you can get yourself into some hot water

Yeah, I would not go the whole deduct for travel vibe. 

 

There are plenty of companies that have their names splashed all over kit and bikes, I am pretty sure they all slap that cost under marketing and move on. 

 

Just make sure you have the company name on the bike etc. 

 

Same way Red Bull deducts those red bull cars for marketing. 

[Pure Savage]

"The marketing fees were not excessive in the generally accepted sense of such term in such matters. These cases make it clear that it is not for the court  (or the Commissioner)  to say, with the benefit of hindsight, that business expenditure should be disallowed on the basis that it was not strictly necessary, or that it was not as effective as it could have been. If the purpose of the expenditure was to produce expenditure, in the course of trade and the expenditure is not of a capital nature, then that it sufficient.”

In our view this statement better describes the current law in this regard. 

[Pure Savage]

You going to have to incur sticker printing costs as well, also tax deductible. 

 

You should also get some Kit with your business made as well for increased exposure. 

[RomP]

 

In our view this statement better describes the current law in this regard. 

"The marketing fees were not excessive in the generally accepted sense of such term in such matters. These cases make it clear that it is not for the court  (or the Commissioner)  to say, with the benefit of hindsight, that business expenditure should be disallowed on the basis that it was not strictly necessary, or that it was not as effective as it could have been. If the purpose of the expenditure was to produce expenditure, in the course of trade and the expenditure is not of a capital nature, then that it sufficient.”

 

Slowly please...I lost you on the first sentence. So I suppose you can,,,,if you wanted...

[lechatnoir]

I had an account who bought a delivery motorcycle for his company. It was a Ducati Monster... I'm not sure how that worked out

[DieselnDust]

I had an account who bought a delivery motorcycle for his company. It was a Ducati Monster... I'm not sure how that worked out

 

 

if it had a rack on the back holding a delviery box then ya well fine, wheres the log book....?

Ooooh only 2000km this Mr. Acme....that doesn;t sound like business use.

 

Covid...!

[Veebee]

Technically, No !

But this is South Africa... anything can be done.