Readers’ forum: Help! My client is trying to avoid car benefit charge

My client (who is a 100% shareholder director) has unfortunately been speaking to the man down the pub again!

He has been told that there is an easy way to avoid a car benefit charge. The car should be owned 99% by the company and 1% by him as shareholder/director. On that basis – he is told – the benefit-in-kind disappears completely.

I have a very vague memory that years ago this idea was being discussed but I cannot remember the details and I am sure that things have changed since then.

Can readers give me any pointers to be able to show to my client that this simply does not work and is only a recipe for problems with HMRC down the line.

Query 20 053 – Sober Man.

Recent judgments can give us a steer.

Sober Man presents an issue which I’m sure many...